Full text of Diaries of Charles S. Hamlin : Index-Digest of Charles S. Hamlin Diaries, Box 35, Volume 21, Reel 20, June 12-November 26, 1932

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Collection!Title

THE PAPERS OF

A LES S JMNER
DIARIES

Series and/or Container

Shelf/Accession No.

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35' v. 3/

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„

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DIARY.
VOXJUM3 #21.
Iidex-Dip;pst.
June 12, 1932 — Nov. 26, 1932.

Abbott, Smma (Mrs. Atwood)
Henry Wright tells me of death of.
Aug. 12, 1932. SO.
Katharine Kebler writes that Emma died
July 27, 193.
Oct. 4, 1932. 123.
Acceptances
C.S.H. believes there should be a redu
ction in acceptance rates now
that the gold export question has been
settled.
Federal Reserve Bank of New York had repo
rted "No change”.
The New York rate in open market which was
2% in karch, is now
7/8 to a little over 1%. The P.R. rate
is 3%, and few, if any,
have been :purchased.
The present Federal reserve rate encourag
es borrowing, while the
acceptance rate discourages it.
Gov. Meyer said there was no connecti
on but Miller agreed with C.S.H.
Board agreed to approve the 211i disc
ount rate but asked Gov. Meyer
to tell New York that the acceptance
rate should be adjusted.
Later Gov. Harrison said he would lowe
r the acceptance purchasing
rate to 1%.
0.z.H. said he had heard the criticis
m that we were favoring
Treasury operations by low discount
rates, thus easing the price
of Government securities, and yet
practically buying no
acceptances.
June 23, 1954 9, 10.
Zaecutive Cannittee of Board took
up ap ilkation of F.T. Bank,
Philadelphia, for a 3%discount rate
on tr.de acceptances. The
regular discount rate on commerci
al paper was
James said Philadelphia should esta
blish a
and have it same as New York.

Inarla

rate on acceptances

Replied that there was no open mark
et for bills in Philadelphia.

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Acceptances (Cont d..)
James insisted that different rates for trade acceptances in
different districts would cause criticism. •

C.S.H. pointed out that there are different discount rates for
commercial paper in different districts.
James world net yield, and. matter bAd to go over to a full Board
meeting.
Aug. 19, 1932. 85, 86.

•

Board decided. that the discount rate should be same for all
classes of paper, but that Philr-delnhia could put in an open
market ,purchasing rate lower than the disco-tut rate, which
Was 3.
Aug. 24, 1932. 93.
San Francisco put in a 74/O rate on T. direct discounts with a
5% rate on trade acceptances directly dixounted.
All agreed that rate on trade acceptances under this amendment
should be same as the discount rate.
Disagreements as to whether discount rate should be 7% or 6%.
Gov. Meyer was asked. to confer with Gov. Calkins.
Aug. 24, 1932. 92, 93.
Gov. Meyer said he had no sympathy with the encouragement of
trade acceptances; that promissory notes were just as good;
that their use did not help create new credit.Aug. 24, 1932. 93, 94.

•

See - Bankers acceptances.
Active Executive officer
C.S.H. tells Delano the Board. should all have title of Governor,
with power to choose one of their number as,
Nov. 19, 1932. 179.
Adams, C. F. Secretary of Navy
Harvard gave, the degree of L.L.D. almost before his seat as
Secretary of Navy. Everyone likes him but he has never been
conspicuous or done anythin.7 warranting this degree, except
to receive the political appointment as Secretary of Navy.
June 23, 1932. 12.
Talking over Cebinet officers under Roosevelt, C.S.H. said
if
Roosevelt wanted to have a Republic:1n he mi-ht consfer, were

Adams, C. F. (Cont l d.)
it not for bitter remarks made by, in
last campaign.
•

C.j.H. said also that Adams, whether righ
t or wrong, was
not loyal to Hoover, in his desire to
cut 'down the Navy

**,
•

Delano said Adams was one of a hide-bou
nd Republican crowd
in Massachusetts.
Nov. 19, 1932.
178.
Laura Harlan, at dinner with Mrs. Newl
ands, said that, had
placed his house in her hands for sale
.
Nov. 25, 1932. 192.
Helen Ernst told C.S.H. she had heaord
a rmmor that Adams
disagreed with. Hoover's polidy of cutt
ing down the Navy
and intendea to resign, but was prevente
d by the Admiral
fram doing so.
Nov. 26, 1932. 194.
Address, Acceptance. Hoover
Listened in at Mattapoisett.
Over an hour long; very dull;
Full of egotism and platitudes.
Aug. 11, 1932. 79.
Bishop Freeman gave a prayer at the
above ceremony.
See - Freeman, Bishop.
Aug. 11, 1932.

83.

Aesops fable, The Belly.
Rev. Dr. Sedgwidk in sermon quoted
this fable and praised
C.S.H.Is address.
Aug. 14, 1932. 81.
•

Later, Dr. Sedgwick referred C.S.H.
to Corinthians 1st - 15 to
22 as having a similar statemen
t.
II

•

See -Scrap book.
C.S.H. used, in address in Llattapo
isett, Old Home Week.
•

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•

Later he sent the fable to Mr. Josl
in, Secretary to Hoover,
thinking he might use it in an address
on confidence
in business, but Joslin never
even adknowledged it.

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Aesops fable, The Belly (Contld.)
C.S.H. also gave it to Henry W.
Robinson, who was amazed at
Joslin, and said he would advise
the President to use it.
Oct. 5, 1932. 126.
See — Belly.
Agricultural purchasing power.
151.
See.Bread and butter.
Agriculture
See.Secretary of Agriculture.
Albany, N. Y.
H.P.H. leaves Mattapoisett for, by
bus.
Left New Bedford 10:10 a.m.
Arrived Albany 6:15 p.m.
Comfortable j ourney, except her
feet were very cold.
Nov. 22, 1932. 185.

•

...

•

Allied debts
U.S. agreed to send representiti
ve to Economic Conference only
on condition that it should not
take up tariff or.
C.S.H. feels it would be absurd
to ignore these and irapossible.
Sept. 28, 1932. 120.
Amendment, F.R. Act
See — P.R. direct discounts
.
Annual leave, C.S.H.
June 21.
Left Washington 9:00 a.m. Tuesda
y.
June 22.
At P.R. Bank of Boston
Harvard dinner 1883
Night train back to Washington.
8
•

2 days leave.

•

July 2, Saturday.
Morning train to N. Y. City and
Newburg, N.Y. 17.
1/2 day leave.
July 3, Sunday
At Delano's.
July 4, Monday.
At Delano's.

17. 18

Holiday

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Annual leave, C.S.H. (Contld.)
July 5.

At P.R. Bank, New York.

P.R. business.

•

July 16. Saturday
To Boston, P.R. business.
July 17. Sunday
July 18. Conference. F.R. Bank, Boston.
P.R. direct discount amendment
Arrived Washington 9:00 p.m.
42
July 30, Saturday

1/2 day.

July 31. Sunday. Holiday
Aug. 1. At F.H. bank
•

Aug. 6.

Saturday.

To Boston.

1/2 day leave.

Aug. 7. Sunday. Holiday.
Aug. 8. Monday. Mattapoisett. Old home week.
1 day lave.
1
9. Tuesday.
II
1 11
N 10. Wednesday. Directors meeting,
P.R. Bk. of Boston, official
business.(Govt. transportation Mattapoisett to Bost
on and
•
return to New Bedford.)
N 11. Thursday, Mattapoisett.
1 day leave.
" 12. Friday
1 "
N 13. Saturday
n
• 14. Sunday
Holiday
N 15
Mattapoisett to Washington. Used Goverment trans
portation
Providence to Wash. as would have gone to Bost
on in
any event to attend the directors meeting, whic
h would
have justified Government transportation both
ways, but,
because of Old Hone Week C.S.H. paid personal
ly his
expenses going to Boston or Providence. 82.
N 25, 27 Saturday
Left Saturday a.m. for Mattapoisett.
1/2 day leave.
" 28
Sunday.
Holiday. 96.
" 29
Monday.
96.
1 day leave.
" 30. Birthday. Took ni4it express to Wash
. 1 "
96.
Sept. 3 . Saturday
Leaves for Mattapoisett.
1/2 day leave
107.
4 Sunday. Holiday
.108.
5. Monday. at Mattapoisett. Holiday.
Labor Day.
108.
6. Tuesdau "
ii
day leave.
108.

•
•

•

• •

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Amiga leave, C.S.H. (Oontld.)
Sept. 7. Wednesday. At directors
meeting, P.R. BaTi4 Boston,
Official business. 108.
8 Thursday.
At Mattapoisett. 1 day leave.109
.
" 9 Friday.
1 "
"
109.
10 Saturday.
H
1/2"
"
N 11 Sunday.
109.
Holiday.
Left for Washington.
110.
17 Saturday.
To Llattapoisett.
1/2 day leave. 115.
ts 18 Sunday
.
Holiday.
115.
19. Lionaay.
En route to Wash. 1 day leave.
115.
22. Thursday.
Left Wash. 9: a.m.
Stol)ped over at FR Bank, Phi
la.
At Boston in evening.
116.
23. Friday.
At P.R. Bank:, Boston.
Official business.
117.
24. Saturday.
At Mattapoisett.
42 day leave. 118.
25. Sunday.
Holiday.
118.
26. Monday. Took night tra
in for
Washington.
1 day leave.
ts 30. Friday
118
. Took 12 U. train
(Senator) for Providence.
1/2
121.
Oct. 1 Saturday. At Mattap
oisett.
1/2
N
121.
2 Sunday.
Holiday.
N
122.
3 Monday.
Left for Washington. 1
122.
" 19 Wednesday. " on Federa
l for Boston
• 20 Thursday. Attended sto
ckholders
meeting, P.R. Bk. of Boston
Official business.
N 21 Friday
152.
. At Mattapoisett.
1
day
lea
ve.
152, 153.
22 Saturday " "
1/2 " "
15
3.
23 Sunday. Holiday.
154
.
24 Monday. Left for Washin
gton.
No leave as was returning fra
m official trip. 153.
Used Government transportation.
Official business. 153.
Nov. 6 Saturday. Left 1:5
5 a.m. for Mattapoisett
via New York.
1/2 day leave.
88
163.
7 Sunday. Holiday.
163
.
▪
8 Monday. At Mattapoisett
.
1
day
lea
ve.
163
,
164.
•
9 Tuesday. Election day.
1
"
164
.
▪ 10 Wednesday. Sick lea
ve. Bad cold.
88
165.
11 Thursday.
a
"
165
▪ 12 Friday.
81
165
.
• 13 Saturday.
"
"
165, 166.
• 14 Sunday.
Holiday.
166.

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Annual leave, C.S.H. (0ontil.)
Resume:
Ifiscal year 1932: —

2 days leave.

1933: — 241 "
4 "

sick leave.

Argentine Ambassador
C.J.H. meets, — an old friend of Anna at lunc
h with Dr. Rowe.
July 7, 1932. 28.
Armistice Day. Nov. 11, 1932. 165.
Ashley, Charles
Somewhat fearful over the Presidential
election.
Nov. 7, 1932. 163.
We dine with,at Wamsutta Club election nigh
t, and later go to
City Hall to hear the returns.
Nov. 8, 1932. 164.
7‘

Ashley, C.S. and Sons
Asks, to indorse our insurance policies
to permit parking out
our two cows for the winter at Riverroa
d Farm, Charles A. Austin.
Nov. 10, 1932. 165.
Atwood, Emma (Abbott)
Death. July 27, 1932. 80, 123.
Attorney General of U.S. Mitchell.
Gives oninion to Treasury that the Trad
ing with the Enemy Act
is still in force, and that therefore, the
Treasury has
power to renalate gold exports.
Wyatt said that in June, 1932, the Trea
sury asked him to give
an opinlon, but that Gov. Meyer told
him not to; that
same of the Treasury officials feared
we were on verge of
going off the gold standard.
Neither Gov. Meyer, Wyatt, nor any
one else evermentioaed this
to the F.. Board.
Oct. 13, 1932. 144, 145.

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Auld. Lane Syne.
Aibstract of recent corresDondence regarding the Auld Lang
Syne manuscript.
(See letter files)

June 16 1932:
C.S.H. writes Miss Greene about Ferguson's
edition of the "Letters
of Robert Burns" published by the Clarendon Press, Oxfo
rd, 1931. Ferguson
Tives the date of the letter to :Irs. Dunlop as Dece
mber 7, althouch
Wallace gives the date of the letter to
Mrs. Dunlop as December 17, 1788.
Ferguson ._ays the original letter is in
the Morgan LibrzAry; the sheet
containing the text of Auld Lang Syne
is in the Congressional Library
(Mrs. Hanlin),and that the second loose Shee
t is in the Observatory Museum,
Dirafries, 6cot1and.
.;.c.H. asks if Mr. Morgan has this letter
to Mrs. Dunlop.

June 28, 1932:
Miss Greene to C.b.H. says she has what
appears to be the first
draft of the text of Auld Lang Syne in
a 20-nage letter of Burns to Thompson,
undated, but said to be about September,
1793. She says the letter to
Mrs. Dunlop dated December 7, 1768, appears
to be complete in 11 pages,
and contains several poems, but not Auld
Lang Syne.
Asks C.S.H. to send her a typed cony of
the letter as printed by
Ferguson. She says that if Mrs. Hamlin
has a manuscript of Auld Lang Syne
dated December, 1788, it would '.isprove
our former theory that the text
contained in the letter here (of about
1791 to Thompson was the first
draft.

June 29, 1932:
O.S.H. to Miss Greene. quotes from Ferguson
's letter dated Dec. 7,
1788. Says Wallace .21:yes the date as
December 17, 1788. Asks as to the
authentic date of the Dunlop letter whetLer Dec. 7 or 17th.

June 30 192:
Miss Greene to C.S.H. Says the Dunlop
letter is -ated December 7, 176'.;.
s1 C.S.H. to send a nhotostat of the
loose sheet containing Auld Lang
Syne, and she will send him a phot
ostat of the original letter. Asks as
to the history of Mrs. Hamlin's
manuscrint. Says the Morgan letter was
purchased from Quaritch of London
in 1906.

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Auld Lang Syne (Cont'd.)
July 4 1932:
C.S.H. to Miss Greene. Enclos
es a photostat cony of Mrs
. Hamlin's
loose sheet with the other docume
nts now on file in the Con
gre
ssional
Li-cr:Jry. Encloses a comparison of
the two texts as contained in
the
Dunlon and the Thomson letter.
uotes from Ferguson's letter
s of Robert Burns as .to the
oriFAnal
letter and the two loose she
ets.

July 8, 1932:
R. V. Chapman of the Claren
don Press, to C.S.H. Say
s the Librarian
of Congress has told him tha
t the autograph copy of Aul
d Lang Syne in
that Library is property of
C.S.H. Says Professor Dewar
of Reading is
collecting materials for a
definitive edition of the
poems of Burns to
be published by the Clarendon
Press. Says it would be a
great convenience
to him if C.S.H. would have a
photostat cony made of his
manuscript Which
is especially important as
bein the first copy of the
song sent by the
poet to anyone.

Ju11, 1932:
Miss Greene to C.S.H. Enc
loses photostat copy of the
letter to
Mrs. Dunlap dated December
7, 1788. She says it doe
s not contain the
loose sheets owned by Mrs
. Hamlin. She would like
very much to see the
second loose sheet which
Ferguson says is in the Obs
ervatory Museum at
Dumfries. If C.S.H. has
not communicated with the Mus
eum she will
write and ask for a photos
tat, as the second loose she
et may contain
some receipt date on the
back. Wonders whether Burns'
statement that
he 'took it down from an old
man's singing" is correct,
or if that is
just a camouflapre for his
own work.

July 13, 19321
C.S.H. to Miss Greene.
Acknowledges photostat copy.
Has had no
communication Lith Dumfries
Museum. If you care to wri
te the Museum, I
will do nothing about
it. If you ask for a photos
tat copy please r7et
two copies so I can have
one. If you prefer not to
write to the Uuseum,
I will take the matter up.
Burns' statement -hat he "to
ok down the song from an old
singing" was pure camouflag
man's
e.
If you prefer to have me
write the Dumfries Museum,
I will suggest
the possibility of Aving
it the letter of Burns to
Dr. Richmond whidh you
will find in the ohotos
tat copy I sent you, in exc
hame for the second
loose sheet owned by the
Museum. This Richmond letter
, Ferguson says, has

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10..

Auld Lang Syne (Contld.)
.. .

.. .

never before been nrinted. To me it would be a great thing if you or
I could secure this extra loose sheet.

July 19. 1932:
C.S.H. to Miss Greene. Have just received a letter from R. V. Chapman
of the Clarendon Press, Oxford, asking for a photostat copy of our loose
sheet containing Auld Lang Syne, and am sending this to him today. I have
told him about the other loose sheet contained in the letter to Mrs. Dunlop
of December 7, 1788, said to be in the possession of the Observatory
Museum, and have asked him to obtain a Photostat copy.
Yesterday I compared carefully the Photostat of the Dunlop letter
sent by you to me, with the photostat cony of our manuscrint, and find
that the size is absolutely identical, thus furnishing a strong piece of
evidence that the loose sheet we have is the one referred to in the letter
of December 7, 1788.

July 19. 1932:
C.S.H. to Mr. R. V. Chapman, the Clarendon Press. Send you herewith
a photostat copy. Ferguson, in his recent book, states the original
Dunlop letter is in possession of the Morgan Library; the first loose sheet
is in the Congressional Library (Mrs. Hamlin) and the second loose sheet
is in the Observatory Museum in Dumfries, Scotland.
Would like to know whether the loose sheet in nosEssion of the Museum
has any date or annotation on it. Asks if he would procure a photostat
copy of it.

July 20. 1932:
C.S.H. to Chapman. Has no oIjection to Professor Dewar publishing
any part, or all, of the photostat copy. States that the version usually
-)ublished is the Thomson letter of December, 1793, while the date of
Mrs. Hamlin's manuscript is December 7, 1788, — five years earlier. Sends
in parallel columns the text in the Dunlop loose sheet and the Thomson
letter. Hopes he can send C.S.H. a photostat copy of the Observatory Museum
manuscriot as it may contain some notation giving date of its receipt.

July 20t, 1932:
C.S.H. to Goodspeed.
Syne.

Cancels authority given him to sell Auld Lang

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11.

Auld. Lang Syne (Cont'1.)
July 21 1932:
Goodspeed to C.S.H.

Acknowledges the cancellation
.

July 29l:
Chapman to C.S.H. Acknowledges
C.S.H.'s letter.
to Professor Dewar to answer your que
stions.

•

Has referred it

kupust 17 1932:
Professor Dewar to C.S.H. Says
Chapman has given him C.S.H.'s
correspondence. Speaks of Fergus
on's statement that the second loo
se
iheet is in the Dumfries Museum
. Says he has not seen this Dum
fries
manuscript, and the Provost of
Dumfries says they do not have
it. Says
,.S.H. may take it for certain tha.
Prof. }Ferguson caw the manuscri-A
in Dumfries a few years ago Whe
n editilE Burns' letters. He clea
rly
identified it as the next leaf
of the letter to 2:rs. Dunlop of whi
ch
your manuscriet is the nreced
ing leaf. Had there been any mar'
kings or
date unon it, he would have -)ut
tnem in his edition of the letter
s. As
he does not do so, it is highly
probable there were no such mar
kines.
You minht it the ouestion
to him direct. His address is Tes
tern Reserve
University, Cleveland, Ohio.
I shall myself search for the seco
nd loose
she't, for I want it to take
conies of the Burns' noems it con
tains
towards the work I have at han
d at the mo. eat. If I can come
across it
jou will certainly hear fro
m me again.
Let me confirm your view that
you have the earliest Burns vers
ion of
the old song in Auld Lang Syn
e. It is, I believe (as your man
uscriet
gives it) the original old son
g that Burns says he took down
- words and
music - from an old man' sin
ging.
The next conies he Jade of the
niece were for Johnson for the
Scotts D.isical Museum when it was pub
lished
in 1797 (Vol. 5, genera.ay wro
ngly dated as December, 1796)
and
for
George Thomson in whose Select
School Airs it first appeared set
to the
tune to which it is nowadays
sung over the world. Johnson set
it
to the
old tune, not now used, but
anearently the one Burns took dow
n
on
fir
finding the relic. Oddly eno
st
ugh Burns himself nowhere claims
Auld Lang
Syne as his own, and the con
ies he sent to Johnson and to Tho
mson - like
another that he transcribed
into his interleaved cony of Joh
nso
n's Museum
for his friend Robert Riddel
l in the 1790's - differ from
you
rs
chiefly
in the chorus and first sta
nza - the reference to "Malag
a". It would
seem as if he refurbished
-diat he took down very little ind
eed.
Thomson .... makes a bad mist
plee in arraneing the stanzas. You
copy keens the pro-per order,
r
as also does Johnson's. The
niece, like a
lot of old folk songs is a
little drama in arrangement. Two
old friends
meet, and (after a sentim
ent) call for "nint-stoups"; reca
ll old days
while the ale is drawn for
them; then drink "gude willy waug
hts" to each
other's health. This is
surely rid-it; the order that
nuts Lest the

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12..

Auld Lang Syne (Cont..)
"pint stoup" stanza is as if we moved Act 1 to the place of Act 5.

Sentember 12 1932:
O.S.H. to Professor Ferguson. Asks whether he actually saw
second
loose sheet in the Obsecvatory Museum, as Piof. Dewar says
the
have
not
got it. Asks whether there was any mark on the loose
they
sheet When you saw it. 7]nc1oses coy of letter of Prof. Dewar.

September 15, 193:
Prof. Ferguson to C.S.H. Thinks the confusion over the Dumfries
manuscrtnt was because Prof. Dewar may have described it as nart of
a letter to Mrs. Dunlop and not so catalogue. Am confident the
manuscrint was in the Observatory Museum when I visited it, but taking
it to be purely a noetical manuscript I gave it only a cursory glance,
as my interest at the time was wholly in manuscript le'Aers. It was
not until sometime later, on coming across an exact coy of this manu,
scrint in the nossession of a gentleman in Glas,Tow, that I realized
its significance in relation to yours. Hence I am sorry to say my
textual note is not wholly accurate. I am confident, however, that
on further inquiry, without mentioning the name of Mrs. Dunlop, the
manuscript will be found after all to be in the Observatory Museum.

September 20,1962:
L;.$.H. to Professor Dewar.
C.S.H. says he
states that he is confident that this loose sheet
Museum when he visited it. Thinks the Y.useum may
your reference to this loose sheet as a part of a
and that probably it was not so catalogued.

wrote Ferguson who
was in the Observatory
have been deceived by
letter to Mrs. Dunlop

Sentember 20. 1932:
C.S.H. to Observatory Museum. Refers to Professor Ferguson's
:tatement that the second loose sheet was in possession of the Mum.
2rofessor Dewar recently wrote me that you stated you dia not ha this
L.anuscript. Professor Ferguson states that he did see it when in
Dumfries, and thinks probably it was not catalogued under the name of
Mrs. Dunlon. Anxious to obtain a -Photostat cony of the second loose
sheet if you have it.

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13.

Auld Lang Syne (Cont'a.)
October 6, 1962:
Observatory Museum (Cam bel
l, Secretary) to C.S.H.
Acknowledges
C.S.H.Is letter of September
20th. Has made diligent sea
rch for this
loose sheet and is unable to
trace it. Thins Feruson
must have seen
this letter in some museum oth
er than the Dumfries.

October 11, 1932:
Professor Dewar to C..
H. Ferguson is right. The
manuscri-A was
in the Observatory Museum Whe
n he collated it for his
edition of Burns'
letters. I've been follow
ing up my inquiries and now
know that the
Museum was a private concer
n and that (owing to bad
times) it is closing
down. The Burns manuscrio
t and relics in its posses
sion are therefore
in process of changing han
ds; but my informant says
he is unable to give
further details of what
is han .)ening just at pre
sent. It is all nrivate
for ti.,e being. When eve
rything is completed, exn
ect to find manuscript
in its new home. You wil
l hear from me then. ran
t to see manuscrint
for own ends as well as
for sake of sending you a
,,escrintion of it.
Re7rets delay "change of
hands" is causing.

October 15, 1932:
C.S.H. to PerEuson. Enc
loses co-7 of Dumfries Obs
ervatory (Campbell
Secretary) lett3r. Could
it be possible you sax thi
s loose sheet in
some other collection in
Scotland?

October 18ta 1932:
C.o.H. to Miss Greene. Hav
e been tryin:; to discover
of the second loose She
the location
et said by Ferguson to be
in possession of
Dumfries Museum. Profes
sor Dewar told me the scond.
loose sheet was
not in possession of the
Museum. I wrote Prof. Fer
guson and he told me
he was positive he saw
this loose sheet there.
I then sent a letter to
the Secretary of the
Museum and enclose a coly
of his reply stating
that the Museum has no
such loose sheet.
I received later another
letter from Prof. Dewar
stating Ferguson was right
and that the
manuscript was in the Observ
atory nuseum, but that the
Museum is a private
concern and is now closin
g down.

October 20, 1932:
3.S.H. to Ferguson. Enc
loses copy of letter just rec
Prof. Dewar. I do hop
eived fron
e we can locate the second
loose sheet.

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Federal Reserve Bank of St. Louis

2#1.

Auld Lang Syne (Contid.)
October 5. 1932:
Ferguson to C.S.H. The statem
ent from the Observatory Mus
eum
unset me considerably, because
I felt that I must have been
eith
er
drunk or insane to imagine having
seen a non-existent manuscrin
t there.
Professor Dewarls letter clears
un everything. There will be
:-, row
when some of the devout Burnsians
learn that the manuscigipts are
being
sold. -- one of the big est
newspaper storms of modern time
s occurred
about 20 years ago when the
Livernool Atheneum sold the Gle
nriddell
manuscript, and the managers
of the Museum doubtless have
denied information in order to complete the
d-al secretly. The break-ur
) of the
collection, howevor, may mak
e it nossible for you, or some
orie else, to
re-uaitehe stray -;ortions
of the manuscrint.

October 2o, 1932:
Miss Greene to C.b.H. Acknow
ledges letter of October 18th
enclosing
-o -)ies of letters from Dewar
and Camnbell. Aloservatory
Musa)
It would be interesting to kno
w the pre ent owners of the
Burns
manuscriot and relics, and I
should not be surorised to
learn that they
will be offered for sale,
probably throuzh a London auc
tion house.

October 27 1932:
0.3.H. to Miss Greene. Enc
loses coy of letter just rece
ived from
Professor Ferguson. I think
it is eviamt that the Burns
manuscrints
owned by this Museum will
be shortly placed on sale,
or perhaps may have
been cA.ready so'.d. So far
as I am -oncerned: I do not
care to enter into
the cannetitionfbr the second
page of the loose sheet cont
ained in the
letter of December 7, 1788,
Which you own. If, therefore
, you decide
to makr any efforts to pur
chase it, I shall keep out
of it. If, on the
other hand, you have no
inter-st in the matter, I may
de3ilo to tr and
s:curc it.

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Federal Reserve Bank of St. Louis

15.

Austin, Federal Reserve Agent, Philaaphia
C.S.H. visits Federal Reserve Bank, Philadelphia, and
lunches
with. Gov. Norris and.
Sept. 22, 1932. 116.
Lunches, with his daughter, at Mattapoisett with
Gov. Young
and Curtiss.
Oct. 23, 1932. 154.
Await, Dept. Comptroller
Induced Sen. Byrnes to ask a member of Conference
Co;.1..iittee
if purpose of Conference was to exclude P.R. Board
and staff
from salary cut and the reply was in the
affirmative.
June 24, 1932. 14.

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Federal Reserve Bank of St. Louis

16.

-3-

Baker, Newton D.
Ellen Leonard. tells C.S.H. tha
t Lirs. Harriman worked for,
in the Democratic National
Convention.
JA.y 9, 1932. 29.
Ballantine, Acting Secretary of
Treasury.
Mr. Morrill called attention of,
to the Glass F.R direct
discount amend. tent and that
he vigorously op:7)osed it
and did all he could in H.H.
and Senate to defeat it, but
that when Ogden Mills return
ed from Boston, he reversed
this and worked to secure
its passage.
July 14, 1932. 41 (2)
C.S.H. speaks of above to Ogd
en
who said Hoover had been
badly advised in the matter
.
July 26, 1932. 56.
Bank failures
See - Failed banks.
Bank of America
Miller said Gov. Meyer used
rough neck methods when he
induced Board to direct Gov.
Calkins to intervene in the
Gianini-Walker fight for pro
xies in the; that he was
overwhelmingly defeated by
Gianini; that Gimnini could
get all the aid he wanted fro
m the Reconstruction
Finance Corporation, for if
it refused he could publish
the Boaralls correspondence
with Gov. Calkins, which
might seriously injure Gov.
Meyer and the Board.
C.S.H. told Miller he suspec
ted at the time that the Wal
ker
interests induced Gov. Mey
er to try to induce our Board
to intervene, and that he
- C.S.H. - insisted on nuttin
g
into the correspondence
with Gov. Calkins the statem
ent
that naparty to the contro
versy had asked the Board to
intervene, but that the int
ervention was solely in the
banking and public intere
st. C.S.H. said he felt
this
addition was most disple
asing to Gov. Meyer but tha
t
he did not dare to object
to it.
Miller sal. u. Gov. Meyer was
beaten hand, foot, and dra
goons in
the matter.
Sept. 1, 1932. 103, 104.
See - Transamerican Cor
poration.
Bank of England
In his address before the
Washington Conference of Bus
iness and
Industrial Comnittees, Hoo
ver alluded to the failure
of the,

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Federal Reserve Bank of St. Louis

17.

Bank of England (Contld.)
.2his was hurriedly explained to Henry
W. Robinson, the Chairman,
who h-d the final text changed to
"the failure of England, whatever this may mean."
Aug. 31, 1932. 97, 98.
Bank of France.
C.S.H. said that because of fact that,
had withdrawn or earaarked
substantially all her deposits here
, our open market policy
has not had a fair test.
June 15, 1932. 1.
C.S.H. believes that Gov. Harrison,
in favoring the Glass Steagall
emergency bill must have had in mind
that the bill would
make it easier to ask the Bank of
France to take down its
deposits here.

On Dec. 2, 1931, Gov. Harrison told
us he had told Bank of France
that increase in deposits caused
by running off of acceptances
must be earmarked or exported.
See 20 Diary, 8.
Oct. 14, 1932. 149.
On January 19, 1932,Gov. Meyer told
Board that he and Ogden Mills
wanted to notify the Bank of Fran
ce to remove all its deposits.
See 20 Diary, p.S.
Oct. 14, 1932. 149.
C.b.H. objected and said this coul
d not
Reserve Act were amended to allow
take down gold deposited with the
as collateral for Federal reserve
Government bonds.

be done unless Federal
Federal reserve banks to
Federal Reserve Agents
notes, and substitute

Gov. Meyer ski he favored such
an amendment,but that the withdrawal
of Bank of France deJosits coul
d be accomplished without this
amendment, as it would be possible
to get 50 or more large
banks to agree to rediscount and
thus obtain the needed gold.
See 20 Diary, p. 8.
Oct. 14, 1932. 149, 150.
See - Glass emergency bill
Harrison, Gov.
Banking reform
Hoover asked Miller if, was not
the great issue at present time
and Miller said Yes.
Miller thinks Hoover in his
annual message will recommend
the
appointment of a Joint Committe
e of Congress to study.
Nov. 26, 1932. 193.

•

18.

•

Bannister, Mrs.
Mrs. Bannister, sister of Sen. Glass, called
on C.S.H. She
wants to have her daughter appointed to a
position in the
Reconstruction Finance Corporation.
I.

0.H. advised her to see Jessie Jones, and
spoke to Floyd
Harrison about it.
July 22, 1932. 48.
•
•

•

Her daughter has been given a position in
above Corporation at
a salary of $1:6,00 subject to the compulso
ry furlough.
Aug. 16, 1932. 84.

•

•' * "

Barnes, Peggie (Mrs. Cecil Barnes)
Ezra Bridgham put up our flag at Mattapoi
sett at half mast by
mistake, and, sent her son over fearing
C..H. had died during
the night.
Aug. 12, 1932. 86.
Bassel, Miss.
C.S.H. meets, at supper with Charles
Warren.
Oct. 9, 1932. 135.
Bayard, Mrs.
C.S.H. spends evening with. July 24, 1932
. 50.
"Belly' Atsop's fable.
See - Aesop's fable. Belly.
Bigelow, Grace
We call on, at Highland Falls, N.
Y.
July 4, 1932. 18.
Died at sea.

Oct. 13, 1932. 146.

Birthdays
Grant, Catherine. Nov. 25.
43 years.
Grant, Christopher, July 22.
H4mlin, Anna. Oct. 26, 1900.
Hamlin, C.S.
Aug. 30.
Hamlin, H. P. April 8.
Meyer, Gov.
Oct. 31.
54 years.

191.
49
96.
160.

Board of Governors, B.R. Syst
em.
New letter suggested by C.b.H.
Nov. 19, 1932, 179.
Boardman, Mabel
C.6.H. meets, at lunch with Ambassad
or Houghton.
Oct. 15, 1932. 150.

Book credits. 41. (3)
See - P.R. direct discounts.

•

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Federal Reserve Bank of St. Louis

•

Borah
Favors allowing Glass banking bill to reta
in its favored place
on the Senate calendar. Defeated.
June 15, 1932. 2.
Introduces as amendment to Home Loan Bank
bill, right of national
bank to take out national bank ndes agai
nst all Government
bonds carrying not over
interest.
July 22, 1932. 48.
Borrowing from a member batik
Federal reserve officers.
See — DeGamp
rancher
Branch banking report. Systau Cammi tee.
Board took up.
Ogden Mills told Gov. Meyer yesterday
that he intended to
quote the report extensively in his comi
ng annual
report to Congress in connection with a
recommendation
for a joint Committee of Con(less to
study banking
reform.
30v. Meyer ashed Board if it objected
to this refer2nce.
C.S.H. asked if Mills wanted Board to
approve his
recommendation for a Joint Oommitte
e.
Gov. Meyer said No, that Mills merely
wanted to know if Board
Objected to his quoting from the report
of the Committee.
Board unanimous in replying that it
had not yet passed on
the relort and that no quotation from it
should be made.
Mills later said he would revise his
report and omit
quotations.

•

James severely criticized the report
savring that it claimed or
clearly implied that unit bank were not
profitable
but that branch banks were; that not
a single large
branch bank system had been profitab
le.
Miller moved to notify all Who had
copies to keep than in
strict confidence as the Board migh
t review the
report and suggest changes in it.
Janes said the re-:)ort express or
clearly implied that almost
all bank troubles came from agricult
ural conditions,
whereas a major cause was purchase
of or loans an
wildcat securities, causing loss of
millions of

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Federal Reserve Bank of St. Louis

20.

Branch banking report, System Comm'Atee (Cont id.)
agricultural investors; that the Whole corn crop of Iowa
would not equal in value what the people of the state paid
annually for automobiles and their up keep.
Board decided to review the re,)ort critically later. .
Nov. 22, 1932. 185, 186, 187.
Miller, after a talk with Hoover, said he had a co -7 of the
report, presumably given him by Ogden Hills.
Nov. 26, 1932. 193.
Branch banks
See - Manhattan Bank: & Trust Co.
Briggs, Ur. & Mrs.
C.S.H. meets, of California, ,t tea with Nancy Warren.
Nov. 22, 1932. 187.
Brigham Hospital, Peter -nrent. 151
See - Hamlin, Edward
Bristol, JUniral
C.S.H. meets, and Mrs. Bristol at Mrs. Graefls when calling on
Mrs. Ballard Moore. They took C.S.H. home.
Sept. 29, 1932. 121.
Bruce, Ex-Senator.
C.S.H. sends Catherine Grant a co_v of attadk on Hoover by.
Oct. 10, 1932. 135.
Catherine Grant acknowledges receipt.
Oct. 14, 1932. 147.
Burgess, Deputy Governor, F.. Bank, N. Y.
Floyd Harrison said Fed-ral Reserve Bank, N. Y. had given, leave of
absence to attend European Reonolaic Conference, but not in
an official capacity, subject to approval of Board; that
Gov. Harrison did not seam very keen about it, but said
Ogden Mills wanted him as he could not get anyone else.
Floyd Harrison said Gov. Meyer did not favor it.
Miller and C.S.H. opposed it.
C..H. said our Government only cgreed to join conference on
condition that neither tariff nor allied debts be taken u);
that a conference under such conditions, would be fruitless
in aArance.
Later Floyd Harrison said the matter had been drop)ed.
Sept. 28, 1932. 119, 120.

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Federal Reserve Bank of St. Louis

Burgess, Deputy Governor, F.R. Baak,NY. (Contld.)
Burgess came down and conferred with Goldenweiser, as C.S.H.
believes concerning the reference in the October Bulletin,
to the gold question, in view of Hoover's reference as
to danger of being forced off gold standard.
C.S.H. heard Gov. Meyer in his roam tell Burgess that it might be
bad to subject Board to charge of meddling with a political
dispute.
Oct. 11, 1932. 138.
Burgess tells Board that the officers of Federal Reserve Bank of
New York had prepared a plan, not yet submitted to the
directors, for spreading the work, involving a five day week
and a 4 reduction in all salaries, thus enabling the Federal
reserve bank to take on extra men and thus relieve unemployment,
the plan to be in force for a trial period of six months.
He said the Business and Industrial Committee of the District was
trying to induce the banks generally in New York to adopt
this plan and that it was hoped the Federal reserve ban.,::
would lead off, as it was the key to the problem as regards
banks generally.
He said they wanted to announce it at once and put it in operation
on Nov. 1.
C.S.H. believes that this d,-sire to nut in operation on Nov. 1 before the elections, stamps it as a political move to help
Hoover.
Burgess said the officers would take a reduction of 8-2N.
Gov. Meyer and Miller favored this.
C.S.H. said he was op )osed, but would reserve final decision for
the present.
The Board vas not asked to approve it now, - it was merely an
informal discussion.
Oct. 11,1932. 139, 140.

Burns, Robert. Auld Lang Syne
See - Auld Lang Syne.
Business and industrial committees, P.R. districts
See- Burgess
F.R. District Committees
Hamlin, Geo. Jr.
Salary reduction

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Federal Reserve Bank of St. Louis

22.

Business recession
Gov. Meyer says things are looking brighter and that he
really believed the tide had turned.
June 15, 1932. 2.
Owen D. Young told C.S.H. he believed the tide of clepression
was turning.
July 5, 1932. 21.
C.S.H. told Young that his prediction that the tide was
turning had come true, which Young admitted.
July 28, 1932. 61.
Byrnes, Sen.
Asks members of Conference Committee if Committee intended
not to subject Federal reserve anployees to the salary
cut and he said this was true.
Deputy Comptroller _malt induced, to put this question.
June 24, 1932. 14.
Oa

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Federal Reserve Bank of St. Louis

23.

-0-,

Cabinet. 178.
See - Delano
Cabinet officer
C.S.H. tells Delano that Gov. Meyer had acted in Board as if he
were a, res-oonsible only tothe President.
Nov. 19, 1932. 179.
Calkins, Gov. Federal Reserve Bank of San Francisco.
Says not necessary by open market operations to keep excess
reserves up to 250 millions; favored keeping them about
as now, - 200 millions.
July 14, 1932.41.
Miller said Gov. Meyer used rough neck: methods to induce Board
to direct, to intervene in fight between Gianini and Walker
for Bank of America proxies.
Sept. 1, 1932. 103.
Miller said Hoover called up, in absence of Gov. Meyer, and
asked for all correspondence between Board and Gov. Calkins
as to Bank of America dispute.
Board voted to comply but some doubt was expressed as to Hoover's
authority to call for this, and possibly, to piutlish it.
C.S.H. said Hoover had a right to call for this, and that responsibility
for publishing it would rest cm him.
Oct. 25, 1932. 155, 156.
Told C.S.H. the banking situation in U.S. was much more critical
than generally supposed and he feared a collapse was
imminent; that he was about ready to accept a Government
guaranty of deposits, although op)osed on principle to such
Nov. 18, 1932.172.
a guaranty.
Voted in opposition to resolution in Governors Conference opposing
salary reductions.
Nov. 23, 1932. 190.
Carey, Sara
Writes C.S.H. a very sweet birthday letter.
Aug. 30, 1932. 96.
Writes H.P.H. a nice letter congratulating her on the elections.
Nov. 10, 1932. 173.
Carey, Senator
Told Miller there was great opjosition to Gov. Meyer because he
had so many democrats in his organization.
July 11, 1932. 30.

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Federal Reserve Bank of St. Louis

24.

Carnegie, Canon
C.S.H. meets, at lunch with Alanson Houghton.
Oct. 15, 1932. 150.
Carnegie Endonment
When it sends a trustee out of country it pays expenns of
wife as well.
Phillips.
June 29, 1932. 14.
Case, Chairman, Federal Reserve Bank, New York
lunches with, at Federal Reserve Bank, New York.
July 5, 1932. 18.
Thought it ,too bad to hold up further purchase of Government
securities until Boston and Chicago agreed to partici-)ate,
as Gov. Harrison sugj-ested, as it would lead public to
believe we had reversed our open market policy.
July 5, 1932. 19.
See - Case, Everett.
Oase, Everett
P.R. Bank of New York appointed Everett Case, the son of
Chairman Case and son-in-law of Owen D. Young, to act in
connection with the Federal reserve direct discounts, at
salary of $4800, - subject to ap7roval of Board.
He was already on the rolls working in this capacity.
Stated by Bank that this salary was same as that he had been
getting from a private corporation, C.S.H. Chinks the
General Motors Co.
The ap-)lication stated that he was a son of Chainman Case and
a son-in-law of Owen D. Young a Class C Director, but
further stated that Chairman Case VW away on his vacation
and did not know of this Tdointment.
James said he Should vote No, so the matter had to go over
to a Board meeting.
C.S.H. feels this is a clear case of nepotism, and believes that
Case had lost his job in the private corporation, althouch
he does not know this.
Aug. 19, 1932. 87, 88.
Board took up Case appointment.
Gov. Meyer favored it.

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Federal Reserve Bank of St. Louis

Case, Everett (Contid.)
C.S.H., Miller, James and Magee oy:osed it, as it would subject
Board to charge of nepotism.
Coy. Meyer was directed so to inform the bank.
Aug. 24, 1932. 91
Case, it appears, after beinc, turned down by the Board has got a
job under the Business and Industrial Conference held at
Washington.
Yet the Federal Reserve Bank of New York said his app intment by
the Bank at New York was to meet an emergency'
A clear case of nepotism'
Sept. 1, 1932. 105.
Castle, Under Secretary of State
An official letter came over C.D.H. desk from, adclressed to
Eugene Meyer, Esquire.
June 18, 1932. 5.
July 6, 193`). 22.
Sept. 7, 1932. 110.
Sept. 17,1932. 116
To C.S.H

Esquire.

Aug. 19, 1932. 85, 89.

Cathedral, Washington. "Republican National Cathedral."
Bishop Freeman by praying at Republican National Convention and
Hoover's acceptance address gives color to the appellation of
the Cathedral as the Republican,National Cathedral.
Oct. 8, 1932. 134, 135.
Central bank.
said Open market operations were of essence of central bank
policy and that Board had at heart a moral dblif7ation to
bring al Federal reserve banks into line with a policy
determined by a majority of the F.R. banks and approved by
the Federal Reserve Board.
July 5, 1932. 19.
Central banks
C.S.H. told Mass that every central bank in the world has power
to deal directly with individuals.
July 9, 1932. 28, 33.
See - P.R. direct discounts.

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Federal Reserve Bank of St. Louis

26.

Central Republic Bank and Trust Co., Chica7o
123 - 124.
See
Trust powers.
Chairman of Board.
See - Conferences.
Chapman, R. V. 45.
See- Auld Lang Syne.
Chase, Howland
C.S.H. meets, at tea with Rachel Tale.
July 10, 1932. 29.
Wyatt

was doing very good work and ,:!cruld prove a valuable
addition to the staff; that his work in preparing rulings
on the stamp tax was really masterful.
Aug. 4, 1932. 71, 72.

Tells C.6.H. Rachel Hale has entirely recovered.
Aug. 31, 1932. 97.
Tells 0.6.H. Rachel Hale has returned from New Mexico.
Sept. 28, 1932.121.
Wyatt says, is doing good work as Assistant Counsel of Board
and proving a valuable addition to staff.
Oct. 6, 1932. 133.
Wyatt said he had recently uined (and Mrs. W.) with, an1
- Eary Chase
at Rachel's house in Upper Marlboro.
Oct. 8, 1932. 135.
Tells

he and Liar,' dined with Rachel Hale on 7han1sgiviag Day.
Nov. 25, 193:2. 191.

Child, 14arion
See - Sanger, Marion.
Christmas Day, 1932.
Mrs. McClellan invites us for, to dinner.
Oct. 16, 1932. 150.
City National Bank, Chicaro. 123, 124.
See - Trust powers.
Class dinner, 1883.
C.S.H. attends, at Faculty Club, Cambridge. 27 present.
C.S.H., Crapo, Dr. Jacobs., et al spoke.
June 22, 1932. 8.

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Federal Reserve Bank of St. Louis

Classification of paper. Federal res-xve direct discounts.
Board notified all Federal reserve banks that the rate
must be the same in all parts of their districts, but
that Board would consider proposals for d1assifio4tion of
the paper at different rates.
73.
Aug. 5, 19
Aug. 10, 1932. 77, 78, 79.
See — Federal reserve direct discounts.
Clearin6 member bank
See — Manhattan Company.
Clephane, Mr. 84, 85.
See
Meyer, Gertrude.
Cleveland, Graver
C.S.H. finishes reading proof of Nevins' life of.
Aug. 25, 1937. 96.
C.S.H. cites appointment of Gresham in cJoint of, as reason
for President Elect Roosevelt not following his example.
Nov. 19, 1932. 178.
Elibu Root tells James Brown Scott that when, was elected he
thought the country would suffer, but, looking back, he
thought the country gained.
Nov. 20, 1932. 181.
(Prof. Nevins sent C.S.H. a copy filled with complimentary
references to 0.6.H. diary.)
Collateral, P.R. Notes
Glass said he saw no reason why Federal reserve direct discounts
should not serve as.
Miller took same view and said the provisions to contrary should
be stricken out.
July 13, 1932. 35.
Board, in considering regulations for Federal reserve direct
discounts all agreed that they should be eligible.
July 13, 1932.36
The requirement for, is not necessary as Federal :eserve notes are
a first lien. The only practical result of the requirement
is to tie up gold when commercial paper is lacking and thus
limit open market operations.
Oct. 14, 1932. 147.

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Federal Reserve Bank of St. Louis

X J.

28.

Collateral, Federal reserve notes (Contld.)
Gov. Harrison on Jan. 11, 1932, first told Board we had sug ested
an amendment to Glass permitting U.S. securities to be pledged
with Federal reserve agent and the gold held as collateral over and above the 400 reserve - be taken down.
Oct. 14, 1932. 148.
See - Federal reserve notes.
Collier, Mrs. Price
Catherine Grant calls on us with.
Sept. 4, 1932. 108.
Competition %.ith member banks
Glass :aid he opposed clause originally in Federal Reserve Act
permitting Federal reserve banks to buy oommercial paper in
open market direct from other than member banks, because of;
that Warburg and Sprague favored it.
July 28, 1932. 64.
Comptroller of Currency
Opposes Federal reserve direct discounts.
July 9, 1932. 33 (2)
Tells C.S.H. that the gossip is that the Iowa Trust and Savings
Bank, recently closed, was in fairly sound condition, but felt
it better to liquidate because of loss of deposits.
C.S.H. said one of the stockholders had asked him about it.
He said there was no reason why 3.S.H. should not tell the stockholders
of this, as purely gossip.
July 13, 1932. 38, 39.
Morrill said Comptroller had asked Hoover to veto the Home loan bank
bill because of the clause perm1tting national banks to take
out national bank notes against U.S. bonds not now eligible.
July 22, 1932. 48.
Pole, Comptroller, is to resign. On the Whole a good but not a
Sept. 1, 1932. 105, 106.
brilliant man.
Told C.b.H. that Bostminterests were bringing groat pressure to
permit the Federal National Bank, Boston, to reopen.
Sent. 1, 1932. 106.

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Federal Reserve Bank of St. Louis

29.

Comptroller of Currency (Contld.)
Said there was now a law providinc for exanimAion of trust
departments of national banks but the procedure had not
yet been set up, but that he could duanine the Continental
Illinois Bank & Trust Co. within 10 days.
Oct. 6, 1932. 130.
Board voted to ask Comptroller to make at least a preliminary
examination of above bank.
C.S.H. asked him to examine to see if there had been any substitution
of Insull collateral in the trust department.
Oct. 6, 1932. 131, 132.
Said the above merger had not been advertised publicly andcould be
delayed until examination finished.
Oct. 6, 1932. 133.
Comptroller report will reach us by Friday.
Oct. 6, 1932. 140.
C.S.H. tells Wyatt the Comptroller should not be on P.R. Board.
Oct. 29, 1932. 158.
C.S.H. tells Delano the Secretary of the Treasury and the
Comptroller should lu taken off the F.R. Board.
Nov. 19, 1932. 178, 180.
Conference Com..iittee. 13, 14, 39.
See — Economy bill.
Conference, Economic. See Name.
Governor Norman with Gov. Harrison. 114.
See — Norman, Gov.
Governors and Federal Reserve Ag,ents.
166, 167, 168, 170, 171.
See — Governor
White House. 147, 193.
See

Hoover

Con,;- ress 31
See — Hoover
Reconstruction Finance Corporation

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30.

Connolly, The Misses
C.S.H. makes evening call on.
Eleanor bro ugh him home in her car.
July 7, 1932. 28.
Eleanor drove C.S.H. to Wamanis Deocratic Club to a buffet
supper to hear the delegates returned frau Democratic
National Convention. Anne Connolly at last moment was taken
ill and could not go.

•

Eleanor made a very good speech.
t

Afternards she drove me home by a circuitous route, via Chevy Chase.
July 10, 1932. 29, 30.
Takes supper with, and later drove to Mt. Vernon and back.
July 12, 1932. 34.
They asked C.S.H. about Iowa Trust & Savings Bank which had closed
and in wich they were stockholders.
C.S.H. asked Comptroller who said the gossip was that the Bank was
in fairly good condition, but had decided to liquidate
because of deposit withdrawals, and that C.s.H. could say this
as gossip merely, as it was a nom-member bank.
July 13, 1932. 38, 39.
C.S.H. gives dinner to, at Cosmos Club and later they drove him
to Mt. Vernon and back.
July 13,1932. 39.
C.S.H. lends them Fred Stimsonle book, "My United States"
July 13, 1932. 39.
C.S.H. writes Eleanor returning a clipping about the Iowa Trust
& Savings Bank, but saying nothing about its condition.
July 14, 1932. 42.
They, with Miss Bassel, came for 0.6.H. at Cosmos Club and drove
him to It. Vernon and back.
July 14, 1932. 42.
C.S.H. calls 1;„9 Eleanor who asks him to dinner tomorrow nijht.
C.:J.H. said. he would not come to dinner but would call later in
evening.
July 19, 1932. 44, 45.
C.S.H. calls on, in evening.

July 20, 1932. 45.

31.

Connolly, The Misses (Contid.)
C.S.H. takes supper with and later listens to Ne, York
Symphony ordhester over radio.
Later Eleanor drove him home, by circuitous route.
July 23, 1932. 49.
Eleanor calls up C."6.H. and asked him to dinner on Wednesday,
July 27, 1932.
July:5, 1932. 51, 52.
O.S.H. dines with, to meet Mrs. Shouse and 'Miss Shouse, also
July 27, 1932. 60.
Mr. Gray.
C.S.H. sends to, H.P.H.Is sketch of Bishop Doane.
July 29, 1932. 67.
C.S.H. calls on, and later takes a drive.
Aug. 3, 1932. 70.
C.S.H. by telephone invites, to dinner t Cosmos Club for
Monday, August 15.
Aug. 5, 1932. 73.
On return from week in Mattapoisett C.S.H. telephoned, to be
they were coming to dinner this evenin -.
I

SUM

a note explaining Why they could
Eleanor said she had written
not came this week.
Aug. 15, 193.). 83.
Later a note came from Eleanor that they could not dine this week
because of long automobile trip engagements bat hoped to
see C.S0H. next week.
Aug. 15, 1932. 83.
C.S.H. writes Eleanor sending some Morgan tea from

Suggested that she call me up some night next week when free and
he would call.
Aug. 16, 1932. 83.
H.P.H. telephones C.S.H. that Anne Connolly has written thanking
her for the tea, and expressing regret that they could not
dine with C..H. last Monday.
Aug. 18, 1332. 64.
I

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.1,0e.PNW

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32.

Connolly, The Misses (Contld.)
Anne Connolly calls up C.S.H. and asked him to lunch that day Sunday - saying that nrs. Squire would be there.
C.S.H. took lunch and later was drive ham with Ma Squire and later
took a drive.
Aug. 21, 1932. 88.
Eleanor Conolly called up C.S.H. saying she was probably engaged
for an auto supper but that, if her plans were changed,
She would telephone him and ask him to cane up tonight.
She said She was going to write him a birthday letter.
Aug. 25, 1932. 94.
Eleanor Connolly sends C..H. a very sweet birthday letter. She
said she would go to co:idunion to pray to God to give us hope
and peace, - referring to Anna's
Aug. 30, 193. 96.
Eleanor Connolly called up C. .H. and in evening he called on them.
Sept. 1, 1932. 104.
C.S.H. invited, to dinner, but they could not accept.
Sept. 12, 1932. 110.
C.S.H. calls u2, and tells them of the Democratic victory in the
Maine elections.
Sept. 13, 1932. 111.
C.S.H. dines with.

Sept. 15, 1932. 114.

Tells C.S.H. they were paying $300 for their apartment; that
later the rent was reduced to $250; later, to $200, and
that now they were trying to reduce it below this.
Sept. 15, 1932. 115.
C.S.H. Galled up, to arrange a date for their dining with him.
They were all tied up, so C.S.H. said to let it run along
and to let him know when they had a free evening.
Sept. 20, 1932. 120.
C.S.H. has not heard from them.
Sept. 28, 1932. 120, 121.
Eleanor calls up C.S.H. and asks him to go with them to
Woman's Democratic Clun to hear Gen. Riley speak.
C.S.H. regretted because of an engagement with Mrs. Ballard Moore.
Sept. 29, 1932. 121.

as.

Connolly, The Misses (Contld.)
C.0.H. calls on, but they were out.
Oct. 8, 1932. 134.
Eleanor calls up C.S.H. and invites him to dinner tonight.
C.S.H. regretted because of dining with Edith Helm.
Nov. 4, 1932. 161.
calls on.

Not at home.
Nov. 19, 1932. 177.

C.S.H. lunches with.

Nov. 27, 1932. 194.

Conrad, The Misses
C.S.H. has, at lunch.

July 24, 1932. 50.

C.S.H. calls on.

Oct. 8, 1932. 134.

C.S.H. has, at lunch, Thanksgiving Day, with Janet Girardeau.
Nov. 24, 1932. 190.
Continental Illinois Bank 8-. Trust Co.
128, 129, 130, 131, 132, 133, 140, 145, 146, 183.
See - Trust powers.
Corinthians, 1st - 15-22.

See Sedgwidh, Rev. Theodore

Correction of Federal Reserve Board minutes.
C.S.H. corrects minutes to show more accurately his connection
with Glass and the Federal reserve direct discount amendment.
.uuc. 1, 1932. 68.
Corporation, 39.
See- Federal reserve airect discounts.
•

Cosmos Club.
C..H. moves from Hay-Adams to.
June 27, 1932. 14.
Cotton loan fund, 1915.
C.6.H. said the New York commodities corporation was much like the.
Floyd Harrison said Wiggin said the same. Wiggin vas active in
forming both.
Aug.. 4, 1932. 71.

•i:

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34.

Crane, Charles R.
C.S.H. meets, at breakfast at Cosmos Club, was enthusiastic
about Roosev lt. SafiHouston was very bitter about
Roosevelt.
Said Houston was a very disappointed man; that he had great
abilities but was very set; that he had spent $30,000
to try to get him nominated for President in 1924.
July 6, 1932. 21, 22.

He said Houston was disgruntled because the Party had made no
July 6, 1932. 26.
use of him.
C.S.H. tells above to Crane's daughter, Miss Frances Crane.
Oct. 23, 1932. 154.
Crane, lass Frances
Came over to see Mr. & Mrs. Magee at Mattapoisett.
C.S.H. told her of Houston's op?osition to Roosevelt.
She said she thought Houston would vote for Roosevelt after all,
and. asked if there was any chance of his being offered
a Cabinet position.
C.b.H. quoted What he had been told as to Houston's remarks, that it was better not to swap horses crossing a
stream, etc.; that her father had told C.S.H. of Houston's
opposition; that without knowing what was going on, he
felt that such conduct scarcely merited a Cabinet position.
She is very intimate with the Houstons, and C.S.H. believes
that Houston is beginning to realize that Roosevelt
is sure to be elected and is ready to jump on the band
wagon, but wishes a reward for so doing'
Oct. 23, 1932. 154, 155.
Crapo, Henry W.
C.S.H. meets at '83 class dinner.
He makes a speech.
June 22, 1932. 8.
. .

Credit. 47, 53.
See - Federal reserve direct discounts.
Credits.
See - Book credits.
Crisis of 1929.
'.6.H. believes that Strother is preparing a statement that
Hoover did not oppose but symnathized with Board's
direct pressure prior to. Sept. 1, 1932. 106, 107.

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35.

Curtiss, Federal Reserve Agent, Boston
Lunches with C.S.H.
Gov. Young and wife, Austin and daughter, Mrs. Curtiss,
and Mr. & Mrs. Magee also present.
Also Mr. & Mrs. Pease.
Oct. 23, 1932. 154.
Customers rates
Board felt that Federal reserve direct discounts were not
to carry penalty rates but that prevailing customers
rates Should be foLlowed.
July 15, 1932 41 (3)

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36.

Daiger, J. M.
Tells C.z).H. that Henry T. Robinson told him there was in
San Francisco credit many rlfusals of deserved credit.
Gov. Mayer said Glass had put in the P.R. direct discount
amendment an strength of Daiger's stateaent.
C.S.H. said he had not mentioned this statement to Glass.
July 9, 1932. 33 (3)
Asked rn.H. for a co-ly of Gov. Harrison's letter to Board of
April 9, 1929, givinL reasons for desiring increase of discout
rates to C.
C.S.H. said he must refer him to Glass; that in res-jonse to
Glass' request when he was testifying, he had undoubtedly
sent Glass a copy. (C.S.H. testimony, p4 172): that it
was for Glass to determine whether to give it out.
C.S.H. wrote Glass sending him another co ,y of the letter.
C.S.H. told Board of his refusal.
Aug. 24, 1932. 90.
C..H. also told Board that Daiger had asked for a cooy of
Lichtenstein's letter criticising the Board for being
influenced by politics in 1928, but that he la'A refused
his request.
Daiger said later he had secured a cov- from other sources.
Daiger also said, and C.S.H. told the Board, that he had written
Lichtenstein for a copy, and tha+ his secretary replied
there were none available for distribution.
C.S.H. told Board that Daiger said he was preparing an article
criticising attacks of Kenworthy and Lichtenstein.
Aug. 24, 1932. 90, 91.
Daiger publishes an article in Current History for October, 1932,
showing absurdity of charges of Kenworthy and Lichtenstein
that the Board was influenced by politics in 1926.
A very sound article, except that it aggrandized Iflller as a
central figure, em-ohasizing his claim that the Federal
Reserve Board was responsible for the inflation of 1927
to 1929.
Sept. 27, 1932. 119.

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37.

Deicer, J. U. (Contld.)
Tells C.b.H. that he has found that the date of the conference at
which Secretary of Treasury told Hoover we were within
two weeks of going off of gold standard was Feb. 10, 1932 - at
the White House Conference after breakfast at which the Glass
Steacall bill was agreed on.
Daiger also said that he had verified the fact, C.S.H. thinks he
said from people in the Treasury, that Hoover's statement
was based on information given to him by Ogden Hills and Gov.
Harrison.
Oct. 14, 1932. 147.
Dawes, Charles G.
Charles Warren said it was common knowledge that, and Gov. Meyer
were at swords points in the Reconstruction Finance Corporation.
June 18, 1902. 6.
Warren also said that James Reynolds told him the Republican National
Convention would have renominated, for Vice Presidalt by
acclamation, had he not positively declined it; that the
delegation did not like nor want Curtis; that Hoover really wanted
young Teddy Roosevelt; that utter fear of this made the delegates
accept Curtis.
June 18, 1932. 6.
Deaths
See - Atwood, Emma (Abbott)
Bigelow, Grace
Richardson, Dr.W. L.
See also - scrap boolm
Dean, J. P.
C.E. Maguire writes C.z;.H. that, Vice President of Continental
Illinois Bank & Trust Co. was offered appointment on Federal
Reserve Board a long time ago by Hoover, but declined.
Nov. 21, 1932. 183.
DeCamp, Fedtral Reserve Agent, Cleveland.
Came before Baird today to discuss action on report of Guardian
Trust Co. and general banking conditions in Cleveland district.
His visit has been twice postponed because o

Gov. Meyer's absence.

3.6.H. said no further postponement should be had as it was very
important to have first-hand information of conditions in
Cleveland district.

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Federal Reserve Bank of St. Louis

38.

id.)
DeCamp, Federal Reserve Agent, Cleveland (Cont
. He had the
DeCamp =de a very poor impression on the Board.
t .d.by our
report of examination of state authorities, assis
in very bad
examiner, on the Guardian Trust Co. which was
condition.
what action the
He came for purpose of discussing with the Board
Board would or could take in the matter.
r to questions,
He stated what the report was but di not, in answe
seem to know anything about it.
giving the Board
Miller cross-examined him and insisted on his later
some recammendatim.
firm recommendation.
He finally went back after having agreed to Make a
Oct. 26, 1902. 156.
to Guardian
Paulger renorted that an examination of reports as
said comnany
to
ed
Trust Co* revealed that DeCamp was indebt
one of
that
00;
$36,0
on two notes, the total being about
state
the
that
;
teral
the notes had no or inadequate colla
that
id;
nliqu
and
slow
examination had marked the notes as
er
anoth
with
note
Gov. Faucher was indebted on a joint
person for about the same amount.
for a Fed(fral
On discussion, :aller said it was grossly improper
and even more
bank
r
reserve officer to borrow from a membe
ses.
so to borrow for speculative purpo
bank for
Miller stated that he had twice borrowed froma non-member
.
teral
colla
as
bonds
short periods, pledging Government
officer should
Later Miller seemed to feel that no Federal reserve
.
ember
borrow from any bank, member or non-m
stand, and,
He finally, however, apparently withdrew from this
tooc or
ently
appar
throu4lout the discussion the Board
for proper
ers
offic
accepted the view that Federal reserve
purposes could barrow from a non-member bank.
bank for
C.S.H. agreed that no officer should borrow from any
this.
with
d
agree
speculative pur-Doses and all the Board
,non,.
C.S.H. said that if an officer had to borrow for a proper
made
loan
the
have
speculative purpose, he would prefer to
should
loan
the
but
at a member rather than a non-member bank,
be reported to his directors.

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39.

DeCaimp, Federal Reserve Agent, Cleveland (Contld.)
In answer to Miller, Gov. Meyer supposed a case where e.g. an
officer brother was in difficulties and the Federal re-erve
officer had to borrow to help him out.
James said even then the better way would be for the officer
to turn over collateral to the brother and let him obtain
a loan on it.
C.:3.H. said a P.R. officer mig4t borrow from a friend, who in
turn might b rrow from a bank to get funds to loan his friend.
In equity, however, the indebtedness of the bank, was that of
the P.R. officer.
Board voted that Cleveland Committee — Miller, Chairman and C.S.H.
summon DeCamp to appear before than on Monday.
Nov. 23, 193. 187, 188.
Gov. Meyer told C.S.H. he thought DeCamp was very weak and that,
Whatever the result of the Guardian Trust Co. notes
investigation, it might be better, in view of critical banking_;
cqnditions, in Cleveland, to reao2oint him on understanding
that after e.g. 3 months we should appoint someone else.
Nov. 25, 1932. 191, 192.
Gov. Meyer said that as regards borrowinj; by F.R. officers from
banks wc should lay down some rule for the future rather than
ruthlessly removing officers right and left.
Nov. 25, 1932. 192.
Delano, F.—.
C.S.H. regrets Harvard did not give L.L.D. to.
June 23, 1932. 12.
See — Harvard University.
C.S.H. visits, at Newburg, Y.Y.
H.P.H. came down from
July 2, 1932. 17.
We leave Newburg.

July 5, 1932. 18.

C.S.H. writes Mrs. Delano a bread and butter letter.
July 6, 1932. 26.
C.S.H. dines with, at Club.
July 14, 1932. 42.

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40.

Delano, F. A. (Contld.)
C.6.H. at 4 p.m. elction day wires, that New Belford has been
carried by Roosevelt by over 7000.
Nov. 8, 1932. 164.
C.S.H. called on.
He said there had been a whispering campaign that Gov. Roosevelt
did not have infantile paralysis, but had some venereal
disease.
He asked if it would be a good policy to put a Reputlican
in the Cabinet.
C.S.H. doubted this

citing case of Gresham under Cleveland.

C.S.H. asked if a Republican were to be appointed, Whether
Sec. Adams was under consideration.
He said No, that he represented a hide bound Republican crowd.
C.S.H. said he had made very partisan speeches in the
campaign.
Delano mentioned Gov. Lowden for Secretary of Agriculture, - a
real farmer and who favored the Maary-Haugen bill.
C.S.H. felt he would be good if any RepUblicLm were to be
appointed.
Delano asked some general luestions about P.R. System
asking if 0.6.H. had any saggestions as to changes.
C.S.H. told him in confidence that the pending Glass bill
Should be enacted into law; that the Comptroller of
Curr - ncy also should go.
C.S.H.also said that it was most important of all, that
the ?resident of U.S. should be separated from the
Board, - throuda his present power to desi7late at
willthe Governor; that this power injected politics
into Board administration; that the Board should be
called the Board of Governors, with power to choose
frau time to time an active executive officer from
among its members; that it should have a building of
its own.
He seemed to agree to these chan.:;es.
Nov. 19, 1932. 177, 178, 179.

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Delano, F. A. (ContId.)
Delano asked C.S.H. as to Gov. Meyer.
C.S.H. said he was an able man, certainly along the lines of
investment banking, and a keen money lender,having had great
experience on several Government Boards.
0.S.H. said his chief criticism was that the position of Governor
had become a political nosition through the parer of the President
to desipmate the Governor at will; that Gov. Meyer is in
effect a Cabinet officer, having the closest relations with
the Secretary of the Treasury and with the President; that
under his administration as Goverior the other members of the
Board had been ignored on vitally important question, e.g.
the Reconstruction Finance Oor2oration and the Glass-Steagall
emergency bill; that whether this was the fault of Hoover or
of Gov.ileyer,C4S.H. would not undertake to answer new.
Delano said he did not like Gov. Meyer - that he had Shifty eyes,
and that he did not have a very good reputation in New York
while in the investment business.
Delano rather thought the Board Should be reduced to 5 members,
but C.6.H. said that would be too small a number, and favored
7 members, with the Comptroller and Secretary of Treasury
off the Board.
Nov. 19, 1932. 177, 178, 179, 180.
O.S.H. is satisfied that Delano will at least not want Gov. Meyer
continued as Governor by Roosevelt.
Nov. 19, 1932. 180.
Delano said he had no doubt but that Gov. Young and Platt's
resignation had been engineered by Hoover and Gov. Meyer
to get Gov. Meyer on the Board.
He said Gov. Meyer once said to him at the Ketro')olitan Club that
"We have taken care of Platt" - referring to his appAntment
in Midland Bank.
Nov. 19, 1932. 180.
J.S.H. lunches with, t:t his house.
& Mrs. James Brown Scott were there.
Delano said he had heard that Ex-Secretary Houston, before 7oing
abroad, had criticised Gov. Roosevelt and the Democratic
party very severely and that he said "it was no time to change

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42.

Delano, F. A. (Contld.)
While crossing a stream"; that he wrote him (Houston) moting
his alleged remarks and asked if the rumor of his apoosition
to Franklin and his support of Hoover was true.
He said Houston replied that no man had a right to ask him how
he should vote; that he had not positively made up his mind;
that his letter criticised the ?arty but never mentioned
Governor Roosevelt; that finally he said he might -possibly
swing into line.
Nov. 20, 1932. 181.
.S.H. feels Gov. Meyer must kmm that Delano will oppose his
continuance as Governor. Delano once told C.S.H. that Meyer
tried to get him off the Smithsonian Institute because of
his opposition to John Lodge.
Nov. 20,1932. 192.
Delano, Mrs. F. A.
Mrs. Delano said that Mrs. Wilbur , wife of Sec. Wilbur, told her
that Hoover fully exnected to be elected and was dazed and
stunned and almost in a state of collapse when he realized
Nov. 20, 1932. 182.
his defeat.
C.S.H. told Mrs. Delano he had heard that Archie Roosevelt, Janet Fida
and Mrs. Douglas Robinson had voted for Gov. Roosevelt.
Nov. 20, 1932. 183.
Democratic National Convention, Chicago
Mrs. Wilson goes to.
June 23, 1932. 11.
Mien Leonard said Mrs. Harriman worked for Baker in.
July 9, 1932. 29.
Democratic Victory, Maine
Democrats elect Governor and 2 out of 3 members of Congress.
Sept. 13, 1932. 111.
Democrats
Sen. Carey told Miller there was much op ,osition to Gov. Meyer
because he had appointed so makr, in Reconstruction Finance
July 11, 1932. 30.
Corporation.
Ogden Mills at Boston charged, with voting for Fiat money.
July 11, 1932. 31.
See — Mills, Ogden.

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43.

Democrats (Contld.)
The fact that Gov. Meyer ;tnd Ogden Mills met in Board roam with
3nairman of Federal Reserve District Committee, without
inviting a single member of the Board satisfies C. .H.
that, were not wanted.
19320 94.
Aug.
Denn4,0hairman, Business and Industrial Committee, N.. district.
Gov. Young sends C.S.H. a letter from, stating that there has been
a material change within the last few weeks; that the
few cases discovered of meretorius loans refused by banks
have all been reconsidered by the banks, on initiation
of the Committee and the loans have been granted.
Sept. 28, 1932. 119.
Deposits
Bank of France. 2
See — Same.
Guaranty of.
Gov. Calkins told C.S.H. that he had always oposed, but
that banking conditions were so critical, he was
Government.
tempted to look with equanimity ion
Nov. 18, 1932. 172.
Deputy Governor
See — Vice Governor.
Dinners (See Lunches, supDers, teas)
H.P.H. dines with Gertrude Myer.
June 24, 1932. 12.
C.S.H. dines with Eleanor Connolly at Woman's National Democratic Club.
July 10, 1932. 29.
The Misses Connolly dine with C.6.H. at Cosmos Club.
July 13, 1932. 39.
C.S.H. dines with Delano at Club.
July 14, 1932. 42.
C.S.H. dines with Charles Warren at Cosmos Club.
July 21, 1932. 46.
At Metrpolitan Clir,. July 25, 193. 50.
C.S.H. dines with Idisses Connolly.
July 27, 1932. 60.

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44.

Dinners (See lunches, stoners, teas)

(Contld.)

Mr. and Mrs. Houghton dine with us lt Mattapoisett.
July 31, 1932. 68.
C.S.H. dines with Bach. Hale.
C.S.H. dines with th

Aug. 4, 1932. 72.

Misses Connolly.
Aug. 5, 1932. 73.

Catherine and Alexander Grant dine with us at Mattapoisett.
Aug.6, 1932. 73.
We dine with Mr. & Mrs. Houton.
Aug. 8,1932. 74.
We dine with Albert Stoessel at Mattapoisett.
Aug. 12, 1932. 79.
Mr. & Mrs. Stoessel dine with us.
Aug. 15, 193:). 81.
C.S.H. dines with Morrill

nd Floyd Harrison at Cosmos Club.
Aug. 18, 1932. 88.

C.S.H. dines with Gertrude Myer. Aug. 18, 1932. 84.
C.S.H. dines at Cosmos Club with Charles Warren and Morrill.
Aug. 24, 1932. 94.
Capt. and Mrs. McNamara and Catherine Grant dine with us at
Sept. 25, 1932. 118.
Mattapoisett.
Mr. & Mrs. Howland Chase give dinner to Mr. and Mrs. Wyatt.
Oct. 8, 1932. 135.
C.S.H. dines with Capt. and Mrs. McNamara.
Nov. 1, 1932. 160.
C.S.H. dines with Edith Helm.

Nov. 4, 1932. 162.

We dine with Mr. and Mrs. Z. W. Pease to meet Mr. & Mrs. Wood.
Nov. 5, 1932. 163.
We dine on election night with Mayor and Miss Ashley of New Bedford.
Nov. 8, 1932. 164.
C.S.H. dines with Charles Warren to meet Miss Bassel.
Nov. 16, 1932. 169.

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45.

Dinners (See lunches, sunpers, teas) (Contld.)
C.S.H. dines with Mrs. Howry to meet a distant cousin, Janet
Girardeau, Whose great great grandfather, Miltoi Richardson,
married the sister of C.S.H.'s grandmother, Harriet Fletcher
(Mrs. Nathan S. Hamlin.)
Nov. 23, 1932. 190.
O.S.H. dines with Mrs. Newlanas.
Nov. 25, 1932. 192.
Direct notes of borrowers.
41 (4) 47, 52, 73.
See — P.R. direct discounts.
Direct pres:ure
C.S.H. told Mill -r that Harry Wheeler, banker, of Chicago,
was the only prominent banker who publicly backed up
our Board. in its policy of, in lieu of increased discount
Sept. 1, 1932. 101.
rates.
C.S.H. sent Strothers, literary Secretary of Hoover, his
testimony before Senate Banlcing and. Currency Committee,
in which he gave the history of.
Sept. 1, 1932. 107.
C.S.H. believes Hoover was in accord with Board's policy of
direct pressure in 1929. See Hoover's talk rith Gov.
Young in earlier diary.
Sept. 1, 1932. 107.
Discount rates.
Gov. Meyer said Federal Reserve Bank of New York would probably
14 this afternoon, if Board would
reduce, from 3 to 2,
would annrove.
it
whether
indicate
Gov. Harrison, over telephone, had said that the 3% rate was
negligible, as also probably would be the 2Y0 rate,
but that 2i% was more in consonance with the Board's open
market policy.
The Board voted that it would approve ,if made, but that it would
not so advise Gov. Harrison.
Gov. Harrison was requested formally to put in writing the
reasons for such a low rate.

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Federal Reserve Bank of St. Louis

46.

Discount rates (Contid.)
Gov. Meyer said Gov' Harrison felt there was no need for changing
rates at the other Federal reserve banks.
James said he wanted Gov. Harrison's reasons in writing so that
the Board would have a record.
James said the other Federal reserve banks needed a lower rate
than did the Federal Reserve Bank of New York, and that they
would surely follow and reduce.
C.S.H. felt that James felt that politics is
the reduction.

t the bottom of

Board voted that Gov. Meyer should advise New York of its approval
of the 2% rate but that there should be an adjustment also
of acceptance purchasing rates.
June 23, 1932. 8, 9, 10.
Federal Reserve Bank, ChicaPvi, reduces from 3,1; to 2,
As Chicago has always opposed rate reductions, C.S.H. fears
James is right as to political consid-rations.
In any event C.S.H. feels this lower rate is justified and
that the new crop of bank failures is a potent reason.
June 24, 19324 11.
See — Federal reserve direct discounts.
Federal Reserve Bank, Philadelphia, asks annroval of El 3% discount
rate on trade acceptances.
The discount rate on commercial paper was 3.
James said bank should establish an Open market purchase rate
which should be same as that of Federal Reserve Bank of
New York.
It was pointed out that there was no open market for acceptances
in Philadelphia.
James said we should be criticised for ap roving different
rates an acceptances in different districts.
said different Federal reserve districts often have
different rates.
James would not yield and matters went over for a full Board meeth8-.
Aug. 19, 1932. 85, 86.

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Federal Reserve Bank of St. Louis

47.

Discount rates (Contld.)
Board ruled that discounts of trade acceotances must take
same rate as discounts of coamercial paper.
Aug. 24, 1932. 92, 93.
Board ruled against proposed 35 discount rate on trade acceptancs
at Philadell.:hia, as all discounts should take same rate, but
decided that Fhiladel,jhia could put in an open market
purchase rate lower than the 31-3* discount rate, if it
desired.
Aug. 24, 1932. 93.
See — Acceptance rates
Federal reserve direct discounts; Rates.
Discounts
Now that Bank of France has drawn down its deposits, we can be
sure that father purchases of Government s,'curities will
not be absorbed by gold exports but will be used to take
down discounts, or build up excess reserves of methber banks.
June 15, 1932. 2.
District of Columbia tax.
C.S.H. file return for year 1933.
July 20, 1932. 45.
Doane, Bishop
C.S.H. loans H.P.H.ts sketch of, to the is
Connolly.
July 29, 19324 67.
C.S.H. loans above sketch to Rachel Hale.
Aug. 5, 1932. 72.
Rachel Hale returns sketch with apreciative note to
Aug. 10, 1932. 79.
Domination.
Miller says Gov. Meyer feels that he is a dominating influence
in the Board; that he felt, in effect, as if he were
Cabinet officer; that he felt his associates v:ere
subordinates; that he ranted to dominate and would
J. P. Morgan; that however,he had a fear of anyone op2osing
him on the Board, lad .7:uidk to see the necessity for
compromise when vigorously ogposed.
July 11, 1932. 30.
Hoover tried to domirate Board by sending it a letter practically
ordering it to declare an emergency under P.R. direct
discount amendment.
July 28, 1932. 65.

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Federal Reserve Bank of St. Louis

48.

Dcrainat ion (Oont d.
Miller said that while Go
Meyer did not want to be dominated
by the Federal Reserve Bank of New York, yet he was
certainly anxious to do nothing to displase the Bank!
Sept. 1, 1932. 105.
0. .H. believes
Meyer is glad to be away from WashinLton as,
with his private telephone line between his home z.t
Westchester and the Fedrral Reserve Bank of New York, he
aln keep in close touch with it, if not with the Board.
C.S.H. believes the Federal Reserve Bank of New York
dominates him.
Sept. 13, 1932. 113.
Dumfries, Observatory fluseum. 45.
See - Auld Lang Syne.
Dunlop, Mrs. 37, 38.
ee - Aulg Lang Syne.

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Federal Reserve Bank of St. Louis

40.

221.1
4.•1

Earmarked gold.
C.S.H. feels - now that Bank of France has earmarked or
exported substantially all of her de-]osits in Federal
Reserve Bank of New York, that our open market policy
will have greater effect in piling up the member bank
June 15 1902. 2.
reserves.
Gov. Harrison told Board on Dec. 2, 1931, that he had told the
officials of the Bank of France that any increase in
deposits caused by running off of acceptances must be
earmarked or exported.
Oct. 12, 1932. 149.
Economic Conference.
Federal Reserve Bank of New York voted, subject to Board's
approval, to give Burgess a leave of absence to attend.
Gov. Harrison was not very keen about it, but said Ogden Mills
wanted it, as he could get no one else.
None of the Board favored it and it was finally draped.
As C.S.H. reneMb9rs, the U.S. agreed to narticipate only on
condition that neither Allied debts nor tariffs be
taken up, Which, to C.S.H.Is mind, is an absurdity.
Sept. 28, 1932. 119, 120.
Economy bill.
Glass told C.S.H. he would attend to having Federal reserve salaries
exempted from cut down in.
June 17, 1932. 5.
Senate sends, tack to Confereace Committee.
The Conference Committee threw out all salary cuts and
substituted enforced forlouhs.
Exempted all salaries paid by assessments on banks.
Await, Deputy Comptroller, got Sen. Byrnes to ask a member of
Conference Committee if was dleaAy intended to exempt
from salary reduction all paid by assessments on banks,
and he sid Yes.
June 24, 1932. 13, 14.

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Federal Reserve Bank of St. Louis

50.

Election day, 1932, Nov. 8.
We dined with Mayor Ashley and later got the returns from
City Hall, New Bedford.
Nov. 8, 1932. 164.
See — Ashley, Mayor.
Election, naine, 1932.
Democrats elect of Governor and 2 our of 3 Congressmen.
Sept. 12, 1932. 111.
Eliot, Bev. Samuel
Spends night with us at nattapoisett.
July 30, 1932. 68.
Emergency
Hoover writes Board practically ordering it to declare an,
under Federal reserve direct discount amendment.
A clear usurpation of authority.
July 26, 1932. 53, 57,65.
See — Fednral reserw direct discounts.
Hoover.
Emergency hospital. 134.
See — Sanger, liarion.
Emergency relief bill.
33, 34, 35 (2) 39,43, 46, 47.
See — Federal reserve direct discounts.
Lnglish speaking Union .152.
See — Mellon, Ambassador.
Ernst, Helen
"Trites C.S.H. a long letter in answer to his, sending her
a coy of an address by Dr. Butler.
Aug. 31, 1932. 96.
Writes C.S.H. acknowledging a pamjhlet.
Oct. 25, 1932. 156.
C.S.H. calls on.

Nov. 17, 1932. 177.

C.S.H. dines with.

Nov. 20, 1932. 18.

C.S.H. calls on.

Nov. 26, 1932. 193.

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Federal Reserve Bank of St. Louis

51.

Ernst, Helen (Contld.)
Says the rumor is that Sec. Adams, dissatisfied with Hooveris
policy as to cutting down the Navy, was about to resign but
the Adrairals persuaded him not to.
Nov. 26, 1932. 194.
"Esquire"
Protocol division of State Department ruled that members of Board
except the Governor should be addressed as "Esquire".
In many cases, Castle sent letters to Gov. Meyer addressed as
"Esquire"
June 18, 1932. p. 5.
July 6, 1932.
22.
July 22, 1932.
47
July 20, 193fl.
49
Aug. 12, 1932.
91.
Aug. 19, 1932.
85. To C.S.H.
U oun
Aua. 23, 1932.
89.
Sept. 12,1932.
110.
Sept. 17,1932.
116.
Essary, Mr.
Woolley said, of a Baltimore paner, had had a confidential talk
with Gov. Roosevelt and was fulLy satisfied he would remove
Mayor Walker.
Farley and Howe told Roper he would not think of removing Walker.
July 24, 1932. 30, 31.
Excess reserves
Gov. Meyer at Governors Conference said we should continue policy of
keeping excess reserves at about 250 millions.
July 15, 1932. 41.
See — Conferences
Governors Conference.
Executive Co:xalttee, P.R. Bank, New York
Magee attendel meeting of, in New York.
June 17, 1932. 4.
Ex—officio member. Reconstruction Finance Cornoration. 37.
July 13, 1932. 37.
See — Meyer, Gov.
Export
See — Gold.
Wes,
See — Morrison, Dr.

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Federal Reserve Bank of St. Louis

52.

—F..

Failed banks.
C.S.H. feels the new crop of 25, in Chicago, was a good reason
for lowering discoumt rates.
June 24, 1932. 11.
Fairhaven, Mass.
Cast 1942 votes for Hoover and 1448 for Roosevelt. An
astounding Democratic gain over 1928.
Nov. 8, 1932. 165.
Fancher, Gov.
Paulger reports that, was on a joint note for about $301000
held by Guardian Trust Co., a member bank in a vary
unsatisfactorycondition.
Nov. 23, 1932. 187.
Farley, James
Woolley says, told Roper that Gov. Roosev-lt hod no intention
of removing Mayor Walker.
July 24, 1932. 50.
Farmers, Direct loans to
Floyd Harrison said Reconstruction Fin. Cornattion advanced
90 million to Secretary of Agriculture for direct loans
to individual farmers.
July 22, 1932. 47.
Farmers
Hoover's bread and butter figures Show that exchange value of
wheat farmers products has fallen enormously as compared
with farmers abroad.
Oct. 17, 1932. 151.
See — Bread and butter.
Ferguson, Prof. 15.
See — Auld Lang Syne.
Fiat money.
Ogden Mills in Boston speech says Democrats favor.
July 11, 1932. 31.
First National Bank, Boston
James E. McConnell told C.S.H. that a client of his owed
$5000 to, amnly secured; that an officer of the
bank avised him to sF11 the collateral and pay the
loan as security values would collapers if Roosev,-lt
were elected.
Sept. 23, 1932. 117.

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Federal Reserve Bank of St. Louis

.!?

53.

Fed:ral Advisory Council
Gov. Young, at a White House Conference between Hoover and
Federal Advisory Council, held on Nov. (:), 1929, after
the crash, gave out a statement that conditions were sound
and that there were ample credit facilities.
Bal rd voted not to send this to Hoover's secretary who had asked
for all tatements issued by the Board as to speculation.
Sept. 1, 1932. 103.
Gov. Meyer yesterday ttended a lunch given by, - no other
member being asked. A grave discourtesy.
Sept. 20, 1932. 115.
Council met with Board.
They discussed the amendment giving power to take o ut national bank
notes on other U.S. bonds than those permitted by the prior
law; also Federal reserve direct discounts.
They voted not to consider the tending Mass banking bill until
after the election, Nov. 8.
Sept. 20, 1932. 115, 116.
Meets with Board.
Smith, the Presid, nt, said Council had spent 8 hours
considering the Glass bill and open market policy.
1.

Extending one year 0 'ovisi ms - time limit - of
Glas -Stea7all amer7ency bill.

To change Federal reserve difect discount amendment
so as to read "indorsed or secured': instead of
"indorsed and secured."

Some members criticised the open market policy because it
made money so cheap that it cut down banking nrofits1
The majority, however, favored the open marhnt policy. Other
than above, not a single comment was made on the Glass
banking bill.
O.S.H. believes some pressure must have been exerted by
Gov. Harrison along lines of Ogden nills' recoariendation
for apnointment of a Joint Committee of Congress to study
banking le7islation,in hopes of killing the nending
Glass bill.
Nov. 18, 1932. 173, 174.

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Federal Reserve Bank of St. Louis

54.

Federal Reserve Act.
See - Federal reserve direct discounts.
Federal reserve agents.
Joint conference. 166, 167.
See - Conference.
Federal Farm Loan Board.
Hoover advised Congress to drop the commissioner of,
from the Reconstruction Finance Corporation.
July 12, 1902. 31.
Federal National Bank, Boston.
Comptroller said great pressure was being brought on him
to permit opening of, now in hands of Receiver.
Sept. 1, 1932. 106.
Federal Reserve Bank, Atlanta
See - Meyer, Gov.
Newton, Federal Reserve A-ent.
Federal Reserve Bank, Boston.
0..H. goes to, with Gov. Meyer and Floyd Harrison to meet
bankers to form a Business and Industrial Comaittee.
June 13, 1932. 1.
0.6.H. and ;ov. Meyer address banks at.
June 14, 1932. 1.
S.H. spends morning at.
June 22, 1932. 6.
While, was not participating in open market purch9.ses, it
took over some of holdings of Federal Reserve
Bank of New York.
Gov. Harrison said that as a result of not particimating,
the reserve ratio of, had risen to 70./0.
Gov. Harrison said Govetrment holdings of securities would
fall off unless more were bought, but he favored
discontinuing unless Boston and Chicago would
participate.
The New York directors thouitt the Board had a responsibility

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Federal Reserve Bank of St. Louis

55.

Federal Reserve Bank, Boston (Contld.)
to bring Boston and Chicago into line
by a majority of the governors.

ith a policy voted

C.S.H., speaking personally, felt Board had a moral responsibility;
that open market operations were of the mture of cent rd
bank operations.
July 5, 1932. 18, 19.
See — Harrison, Gov.
C.S.H. told Board that the Boston directors felt that the
Board had a moral resnonsibility as above.
Gov. Meyer sarcastically o;dked C.6.H. why he did not take it up with
Boston. C.S.H. said he would.
duly 7, 1932. 27.
C.S.H. spends morning at.
Aug. 1, 1932. 38.
C.S.H. attends directors meetin.
Aug. 10, 1932. 76.
Executive Committee had yesterday reconlmend, d -a rate of 5%
on Federal reserve direct discounts.
This

directors received word that Board had approved a 0
rate at New York, St.Louis, Minneapolis, and same other lank' s.

They asked C.S.H. if this meant the Board desired a unifomm rte
t all banks.
called 1.).) Wyatt nd L_ter told the directors that the Board
sent the telegram to Boston merely for its infornation
and would not prescribe a uniform rate, but had approved
snecific rates -nut in by the Pederal reserve banks.
C..D.H. said that, whatever the rate, it must be the same throuout
the Federal reserve district, by classifying the paper any
Federal reserve bank could have different rates on different
classes of pa-)er, to apply over the whole District, regardless
of location or of the size of the loan.
S.H. said the Directors should fix the rates for themselves
regardless of rates fixed by other Feder. reserve banks; that
if they fixed. 5?-igo he personally would vote to approve, and he
believed the Board. would ar)7,rove it.

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Federal Reserve Bank of St. Louis

56.

Federal Reserve Bank, Boston (Contld.)
The directors then to )1: up the 5?..1% rate recommended by executive
comaittee, and asked C.S.H. what he thought about it.
C.'6.H. said the prevailing customers rates in New England were 6;
that if Federal reserve di::.ect discount rate was 5N, he feared,
while not competitive as to any particular loan, it might have
a competitive influence in the way of tending to pull clown the
6% rate structure in the future.
Ripley said if a bank regarded any 'articular loan as rather
rear the line but would be willing to make it for 6%, did it
not fear loss of deposits, it would seem strange for the
Federal reserve bank to make such a loan - very near the line for 5%.
The directors then recanuiended the 5?,; rate and voted for 6%, it
being understood that later some classification might be made.
Aug. 10, 1932. 77, 78, 79, 81.
The Federal Reserve Bank, Boston, in reporting to Board a change
from 5:
i to 6 for Federal reserve direct discounts, stated
among other things, that the change was made after consultation
with C.6.H.
Ce6oHil, exact conversation is stated above.
Aug. 16, 193' •

83.

C.S.H. attends directors meeting.
Sept. 7, 1932. 108.
0.S.H. has conference at,with Chairman Curtiss and Gov.
Discussed Maine banking situation were non-member banks were
great difficulties; Federal reserve direct loans; the coming
stockholders meting on Oct.
at which Ur. Dinnet, Chairman
of the Business and Industrial Committees is to speck, etc.
Sept. 23, 1932. 117.
Attended stockholders meeting with Mr. Magee. Delivered an ,si-ress.
Oct. 20, 1932. 152.
Boston.
See - Federal reserve district co—ittee.
Federal reserve di-ect discounts.
Salary reductions
Young, Gov.

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Federal Reserve Bank of St. Louis

57.

Federal Reserve Bank, Chicago,
Reduces discount rate from 3.to 2, Chicago has generally
opposed rate reduction, and C.S.H. at first thought
James was right in suspecting pc:dittos but the fact
of the new crop of 25 bank failures woulrl seem to justify
the reduction.
June 24, 1932. 11.
Took over some of Federal Re-erve Bank, IT. Y. open market
nurchases but declined to participate further.
Gov. Harrison sail volume would fall off if no purchases
were made this week: but he rather favored not buying
unless, and Boston would participate.
The New York directors feel there is a moral obli,-,ation on
Board to bring, and Boston, into ix.rtici-)ation in a
policy voted by the Governors.
C.S.H. agrees with this.
Gov. Harrison said that even if Board had no direct power, it
could force Boston and Chicaco to rediscount rediscounted
paper held by New York.
Gov. Harrison said he would try to induce Boston and. Chicago
to participate voluntarily.
July 5, 1932. 18, 19, 20.
C.S.H. told Board of above and agreed with N. Y. directors.
Gov. Meyer said testily that the Board were too busy to discuss
this and suggested sarcastically that IS.H. should take
it up with Boston, which C.S.H. at once said he muld do.
July 7, 1932. 27.
See - McDougal Gov.
Meyer, Gov.
Stevens, Federal Reserve Agent.
Federal Reserve Bank, Cleveland 53
See - Federal reserve District Com_littee
Fan-her, Gov.
Decamp, Federal Reserve Agent.
Federal Reserve Bank, Dallas
See - McKinney, Gov.
Meyer, Gov.
Walsh, Federal Reserve Agent.

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Federal Reserve Bank of St. Louis

58.

Federal Reserve Bank, Kansas City.
Board voted same time ago for a reduction of salaries in
certain divisions.
C.S.H. must have been away when this was done.
Nov. 18, 1932. 172.
Federal Reserve Bank, Minneapolis
See — Meyer, Gov.
Federal Reserve Bank, New York.
Gov. Meyer said, would probably reiuce discount 7i. tes from
3 to 2, if Board would give its ap-)roval in advance.
Board voted to approve if =de but not to inform, before it
put it in.
James insisted upon having the reasons for the rate put in
writing.
C.S.H. believes James suspects . olitics in this proposed action.
Board directed Gov. Meyer to inform, that acceptance purchasing
rates should also be lowered.
June 23, 1932. 8, 9, 10.
See — Acceptances
Harrison, Gov.
Gov. Meyer said, hd put in a private telephone wire between
the, and his house in Westchester county, and said the Board
should pay for it. The cost was $160 per month.
0.6.H. agreed but Miller felt the, should pay for it.
Gov. Meyer said he would take it up with New York.
July 1, 1932. 17.
C.S.H. at Federal Reserve Bank. Lunched with Gov. Harrison
and Case. Attended meeting of Executive Canaittee.
July 5, 1932. 18, 19, 20, 22.
See —Harrison, Gov.
C.S.H. tells Board of his meeting with Executive Committee.
July 7, 1932. 27.
See — Harrison, Gov.

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Federal Reserve Bank of St. Louis

59.

Federal Resrve Bank, New York (Contld.)
Asks authority to reduce wages for employees 8-1/3;; and for
officers Dko by an appliation of the furlough systam.
July 25, 1932. 51, 54, 55, 56, 57, 60,
61, 62, 63, 66, 39.
See - Salary reduction.
Board on

motion voted not to a,.)prove sal:try reduction.

Aye - (Not to approve)
Gov. Meyer, C.S.H., James, ::.agee
No.

(To approve) MUle r.
July 28, 1932. 67.

See - Salary reduction.
R direct
_•__•
Asked for a spread - 4. to 6; - on discounts under F
discount amendment.
Wyatt said the rate over the district muzt be same, no
matter the amount or locality, but paper could be classified
so as to take different rates.
Aug. 2, 1902. 69, 70.
Asked Board's approval of apnointment of Everett Case to work
in connection with F.R. direct discounts, at a salary of
$4800 - the same as he had lately been receiving from a
company which had employed him.
He was the son of Chairman Case and son-in-1,,w of Owen D. Yoan.
was stated that Chairman Case was away on leave and knew
nothing of this.
Board took this up at Executive Camittee.
James obj-cted s) matter went over to full Board and, was so
advised.
We all felt this was a flagrant case of attempted nepotism.
Aug. 21, 1932. 87.
Board took up above.
Gov. Lieyer favored, but all the others objecte.
Board felt such an appointment would invite serious attack and
directed Gov. Meyer to advise, that it could not approve.
Auz. 24, 1932. 91.

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Federal Reserve Bank of St. Louis

60.

Federal Reserve Bank, New York (Contld.)
Miller toll Board that Case had a job under the conference
of Business and Industrial Camaitnes in Washington.
Sept. 1, 1932. 105.
Miller told C.S.H. that although Gov. Meyer may not want to be
dominated by, yet he always seemed to be desirous of
pleasing it.
Sept. 1, 1932. 105.
Miller spoke of domination of Gov. Meyer by Cgden Mills and, saying
it showed convincingly that the SecretLry of Treasury should
not be on Federal Reserve Board.
Sept. 1, 1932. 105.
C.S.H. feels that Gov. Meyer, with his private telephone line
between his Westchester house and, is glad to remain in
New York in close touch with, which, C.S.H. believs, is
dominating him.
Sept. 13, 1932. 112.
C.6.H. asked Morrill if any reoort had come to Board from, as
to Gov. Norman's visit. Morrill said. No.
0.6.H. asked that this inquiry be put in Board's records, - which
was agreed to.
Sent. 15, 1932. 114.
Bank voted to give Burgess leave of absence to attend preparatory
economic conference abroad.
All of Board objected and matter was finally dropped.
Sept. 28, 1932. 119, 120.
See - Harrison

Governor.

Gov. Meyer is to be in New York for a week.
He is really managing the Board from New Yotk - together with the
Federal Reserve Bank of New York%
Oct. 4, 1932. 122.
C..H. believes the spread-the-work plan of, is political,- an
attempt to help Hoover, by announcing it before the
Presidential election.
Oct. 11, 1932. 139.
See - Salary reductions
Spread the work.

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Federal Reserve Bank of St. Louis

6].

Federal Reserve Bank, New York (Contld.)
C.S.H. read over the busines3 and financial summ—ry of, and found
no reference to possibility of going off of gold 'standard
in Feb. 1932, nor any intimation of any trouble.
Oct. 14, 1932. 147.
Board voted at open mrarket camittee at which Gov Harrison was
present, in February 1932, to incriase Government security
purchases to 500 mlllilns per month.
Ansuredly this would not have been done had there been any danger
of going off the 2;o1d standard.
Nov. 14, 1932. 167.
Miller called attention to fact that he had voted in favor of
every proposed salary reduction , — Kansas City, Richmond,
and Federal Reserve Bank of Yew York.
Nov. 18, 1932. 172.
See — Harrison, Gov.
Salary reduction
Spread the work
Young, Owen D.
Federal Reserve Bank, Philadelnhia.
Applied for agproval of a 3% discount on trade acceptances.
The regular discount rate on commercial paper was 3.
James claimed bank should put in an open market purchase rate making
it same as at Federal Reserve Bank, New York.
James said differences in different districts an trade acceptances
woulilubject Board to criticism.
C.S.H.pointed out rates may differ as between different districts.
James insisted on matter going to full Board.
Aug. 19, 1932. 85, 86.
Board decii d that rates on all forms of discounted paper
should be uniform, but that Philadelphia could put in a lower
open market rate.
Aug. 24, 1932. 93.
C.S.H. visits, and lunches withIL'Istin ..nd Gov. Norris.
Sept. 22, 1932. 116.

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Federal Reserve Bank of St. Louis

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Federal Reserve Bank, Philadelphia (Cont I d.)
Board holds up for further study the plan of, for spreading
the work and reducing sal-xies.
Morrill explained C.0.H. opposition - C.6.H. was away.
Nov. 12, 1932. 167, 168.

Board toDk up above plan.
C.S.H. and James objected to putting all expense of snreding
the work on the employees.
C.6.H. explains his op-:;osition.
S.H. said the, is now engaged in "spreading its bank building"
and why doesn't the bank put the expense on its employees1
Board finally voted to interpose no objection.

Even James so voted.

C..H. alone voted No.
Nov. 23, 1932. 188, 189.
See - Austin, Federal Reserve Agent
Norris Gov.
Federal Reserve Bank, Richmond
C.S.H. moved to disap-rove wage reduction plan.
Al]. voted to disap-xave exec-A Miller who voted to approve.
July 29, 1932. 67.
Miller refers an)rovingly to his vote as above.
Nov. 17, 1932.172.
See - Seay, Gov.
Federal Reserve Bank, San Francit,co.
Put in a classificationoC Federal reserve direct discount
rates, the =MIMI= being 7,0.
James insisted on 60 as maximum.
said 7i0 was nearer the customers rate in that District
than would be 6,0.
favored 7% and said Board should attempt to have uniform
rates in all Federal reserve districts.
Matter went °inr to full 3ocxd.
Aug. 19, 1932. 86, 87.

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Federal Reserve Bank, San Francisco (Contsd.)
Board took up above matter.
Miller wanted 66 to be uniform at all Federal reserve banks.
Gov. Meyer and Magee favored 7, also
C.S.H. said he would not agree to a 6% uniform rate.
Board directed Gov. Meyer to take up matter with Gov. Calkins.
Aug. 24, 1932. 92, 93.
See — Calkins, Gov.
Meyer, Gov.
Newton, Federal Reserve Agent.
Federal Reserve Bank, St. Louis
See — Meyer, Gov.
Federal reserve banks.
9, 23, 41 (3)
See— Discount rates
Federal reserve direct discounts.
Federal Reserve Board
The protocol division of State Departaent rules that only the
Governor of the Board is entitled tothe title of "Honorable"
and that of the other members relegated to "Esquird".
Many letters, however, have been sent to the Governor addressed
as u2souire" e.g.
Castle to Gov. Meyer
June 16, 1932. 5
July22, 1932. 47
July 20, 1932. 49
Aug. 12, 1932. 91
Sept. 7, 1962. 110
Sept. 17,1932. 116.
Castle to C.S.H.
Aug. 19,1932.

85, 89.

See — Case, Everett
Conferences
Comptroller of Currency
Continental Illinois Bank & Trust Co.
Daiger
Dean

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Federal Reserve Board(Contld.)
See - Delano
Direct pressure
Discount rates
Domination
Federal Advisory Council
Fed,:ral Reserve Bank, New York
Federal reserve direct discounts
Federal Reserve District Committees
Gold standard
Governors Conference
Hamlin, C. S.
Hoover
Kenworthy
Manhattan Company
Meyer, Gov.
Miller, Dr.
Norman, Gov.
Open market operations
Politics
Salary reuctions
Secretary of Treasury
Spreading the work
Votes
Young, Gov.
Young, Owen D.
Federal Reserve Bulletin
Gov. Meyer, returning from New York told Board he was not
satisfied with the advance sheet of the Bulletin's Review
of the Month which would ordinarily be published about
Oct. 16, 1932.
This proposed draft gives a general review of the gold situation
for the past year, and, following, as it did, Hoover's
statement that in Feb. 1932 we were within 2 weeks of being
driven off the gold standard, it was most desirable that
in a review it should not seem to take sides in this controversy:
Contra* to previous usage, Clov. Meyer was the only member
who had seen the proof, and he took it with him to New York.
Gov. Meyer, C.S.H. believes, wanted to nut in the Bulletin material
to bolster up Hoover's wild statement.
C. .H. had learned that Morrill had a copy of the original draft
and asked to see it, and Morrill said he would send it
in as soon as he had finished with it.

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Federal Reserve Bulletin (Conti d.)
At 3:30 p.m., 0.3.H. again asked for it but Lorrill said he
had not finished with itt
Gov. Meyer said he had brought Burgess down vith him to help
Goldenweiser revise this draftt
C..H. feels there is something mysterious about all thist
C.S.H. met Goldenweiser at lunch and he said that although his
draft had been put into galley nroof, he had not sent copies
to the Board, aS he intended to rewrite it, — evidntly under
Governor Mayer's direction.
C.S.H. said he v:ould like to see the original draft but Goldem:eiser
said he would greatly prefer not to show it as he had entirely
rewritten itt
0..H . told Goldenweiser he believed no general review of earlier
Eold conditions should be put in this month's Bulletin, or
at least in the October number; that he would have no
objection to ,such a Review in the November nuthber, after
the elections.
C.S.H. said any attemnt to soften the effect of Hoover's statement
or
ything that looked like wadi an attempt would be
construed as aplitical interference, and if the absurdity
of Hoover's statement were shown up, a similar charge would
be made.
Goldenweiser said he certainly would not want anything put in
which would be subject to criticism, and he agreed it would
it would be better not to review the -oast events as to
gold in this number.
Governor Meyer told Board we should either say nothing about the
past events or state the facts fully.
Later 0..H. heard Gov. Meyer say to Burgess in his office that
it laight be bad to subject Board to a charge of being in
politics.
0..H. believes Goldenweis2r had told Gov. Mey, r of his talk
with C..H. .
O.S.H. believes there is a scheme on foot to help Hoover in
his foolish staement, — an attemf)t which he will resist
to t.e end, and will protect the Board fro the charge
or suspicion of min ling in politics.
Oct. 11, 1932. 136, 137, 138, 139.

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Federal Rescrve Bulletin (Contld.)
Gov. Meyer brought un again the question of the Bulletin
contentt.
C.2.H. said he had received a co-- y of Goldenweiscris revised
report only 1/2 hour before this meeting, and had time
only to read a part of it.
Miller s-id the same.
Gov. Meyer suggested a meeting in the afternoon after all had
read it.
C.S.H. said it was not advisable now to publish a review of
the old situation since 1929, as the revised draft purports
to do, but that if considered necessary it could appear in
the November number; that, unfortunately, the gold question
had got into politics and that this draft, if punished
now, mi.cht subject the Board to the charge of interfering in
a political controversy.
C.S.H. specifically criticised page 3 of the draft, stating that
the gold extort movement started un aglin in January, 1932,
and stressing the fact that there was a large volume of
foreign balances in U.S., subject to withdrawal in gold
on demand.
C.S.H• said there had always been large foreign denosits in U.S.,
and that the statement might tmnly that these deposits had
suddenly ,:crown beyond normal.
iiller aGreed and said it looked, as if our Bo. rd. was trying to
pull some one's irons out of the fire.
Gov. Meyer asked "Whose irons?" but Miller ignored the question.
Everyone knew what Miller meant.
Gov. layer finally said it might be better to tell Goldenweiser
to strike out everything as to gold except referencesto
the last month, and it was so ordered.
C.S.H. is satisfied that the revised draft tas prepared under
Gov. Meyer's orders to give Hoover some ground for defense.
Before the meeting C.S.H. asked Morrill for the co',;:f of
Goldenweiserts first draft, and Morrill said lov. Meyer
had directed him to destroy it, and that Goldenweiser vlas
preparing a new draft, and was why he had not sent C.S.H.
the co-q in response to his oriinal requests.

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Federal ReEl ,rve Bulletin (Contld.)
0.8.H. believes the original araft must have been so patently
a defense of Hoover that CTav. Meyer did not dare to as
the Board to an,)rove it.
C.S.H. believes that Hoover --)robaly directed .ov. Meyer
to bolster up his foolish statement, and that Gov. Meyer
did the best he could, but that in his heart he is glad
that the Board refused to do it.
Oct. 12, l93. 141, 142, 143, 144.
See — sold standard
Hoover.
Feder.:11 reserve direct discounts. Amendment to F.R. Act.
(TYpewritten conies of proceeclincs as found in
diary follow)

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ea.

July 9. Saturday
lly
About noon, I called up Senator Glass, and during our talk incidenta
ction
the Reconstru
I referred to the provision in the relief bill givire
ls, etc. with..
individua
to
direct
loans
to
make
right
the
Finance Corporation
with President
out the intervention of any bank. I told Glass that I agreed
then said
Hoover that this was most objectionable amd should be defeated. I
to
power
such
to Glass, that if Garner had suggested as a substitute giving
y
the Federal Reserve System, I should be inclined to say that I personall
w3uld favor it, as practically every central bank in the world had this
power, and I kmaw it was largely exercised by the Bank of France. Glass
did not seam to be much taken with this suggestion, and the conversation was
terminated.
About 1200, Glass called up again, ani said he had been thinking over
our talk, and asked me personally to draw for his confidential information
an amendment giving such power to the Federal Reserve System. I told him,
of course, that I would be glad to do this, 'tut pointed out that it was
purely personal to myself and to him, as I had never discussed this in any
way with the Board.
I than told Dr. Miller about this. While he did not express
opinion on the merits of the proposition, he told me there was no
the world why I should not comply with Senator Glass' request, on
standing that it was personal and confidLntial and had nothing to
the Board.

any
reason in
the underdo with

Jul,,y 11.
Senator Glass introduced the above amendment to the euergency relief
bill - H.R. 9642.

July 12. ZuesdpNI
Governor Meyer told the Board about this amendment introduced by
Senator Glass. I then explained to the Board my oonnection with the matter.
Gov3rnor-Meyer was quite severe in his criticism _of my having suggested this
amendment without consultation with the Board. I replied at once that I
had suggested nothing; that the amendment grew out of a personal talkbetieen
Senator Glass and myself over the telephone, in which I suggested that I
agreed with President Heaverin his op2osition,to giving sudh power to the
Reconstruction Finance Corporation, and then I added, somewhat jocosely,
that if Mr. Garner had had the sense to suggest that this power be given
to the Federal Reserve System, I thought I should be inclined to approve
it, as I knew that practically every central bank in the world had this
power. I told the Board that Senator Glass did not seam to take any

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69.

interest In this matter, but that 15 minutes later he called me up and
said. that he would like to have me draw an amendment along these lines.
I told him that I of course would do this with pleasure, on the understanding that it was purely personal and confidential between him, and.
myself, and had nothing to do with the Pederal Reserve Board, which had
never considered the matter.
I told the Board that personally I approved this amendment, as I
believed there were many people in the United States with ample collateral
who could not obtain loans from member banks, and I stated a conversation
I had with Mr. Daiger, Aho told MA that Henry W. Robinson of Los Angeles
told him that in his district there were many such cases.
Governor Moyer then said that evidently this amendment was put in
by Glass on the strength of 14:r. Daigeris statement. I said that I had
never mentioned this statement to Glass; that I had just stated it in
reply to a statement just made by Mr. James that everyone entitled to
credit in the United States could easily procure it, - which I could not
accept.
i also told the Board that I had sent Senator Glass a list of
central banks having this power, which I obtained from Ur. Riefler, but
that as sent it merely gave the name of the finance journal, from Which it
was taken.
A long discussion followed as to the merits, and James was bitterly
opposed, and the Comptroller also, although not quite so positive about
the matter. Miller said that in normal times he could see much that might
be said for this amendment, in that it might make our Pederal reserve
policy more effective, but he feared that at the present time it might
cause a rush on the Federal reserve banks.
Governor Meyer finally became a little less positive as to his
objections to the amendment on the merits, but finally said that his
princApalobjection was that such an important matter should not be sprung
at the last moment without any opportunity for hearing or decision.
Governor Meyer then asked the opinion of the Board as to its merits and
as to the expediency of having it enacted at the present time. CS.114 voted
Yes; Dr. Miller, James and the Comptroller voted No. I think Governor Meyer
did not vote, but if he did it was without doubt in the negative.
The question arose as to what course to take to indicate the feeling
of the Board toward this amendment. Al]. agreed that it was too late to
write anything, and that whatever was to be done must be done over the
telephone. Finally Governor Meyer asked Miller to telephone President Hoover

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and express the views of the Board as above indicated. The Board then
adjourned.
At 1:00 p.m. Dr. Miller came to my office, and said that he had
talked with the President who seemed very tired., and told him that the
Board should communicate with Glass. This was all Dr. Miller said as
to his conversation. He then repeated to me what he had said in the
morning, - that in normal times this might be a wise rime, but he feared
at the present time it was not opportune, and he suggested to ma that I
call up Glass and tell him how the Board felt about it. I asked him to
remain, and called up Senator Glass, and finally gat him over the
teleilione. I told him that the Board felt very much disturbed over the
amendment, and some of them criticised ma for having suggested or drawn
it, but that I had explained to the Board that the matter was a purely
personal one between him (Glass) and ma, and that I had not suggested
it in any way or shape.
Glass replied that that was absolutely correct; that he assumed
all responsibility for the amendment, and that he thoroughly believed
in it. I then said to him that I wanted to express in Dr. Miller's
presence the fact that I had never, directly or indirectly, suggested
this amendment, or any amendment, to him, and he repeated what I had
stated above. I repeated the same to Dr. Miller. I then reminded
Dr. Miller that on Saturday noon he told me there was no ,ossible reason
why I should not comply with Glass' request. He said this was absolutely
so, -nd that he believed that any member had a right to have a confidential
talk on any subject with a member of Congress, especially with Mr. Glass,
and he said that it was unfortunate that this particular talk had resulted
as it had. He then talked with Glass at some length over the telephone,
which conversation I could not hear, buv evidently Glass had made up his
mind that this amendment was wise, and that he should press it. Miller
made the suggestion to him that these loans would be dollar for dollar,
while a loan to a member benk would require only the lawful reserve to
be deposited by the bank. Apparently Glass had said that he thought
this amendment would do more good than pouring millions of money into
the market by buying Government securities.
Considerable discussion was had, and. Miller said. he would be glad
to talk with him about it later, but that he evidently had made up his
mind.
I then talked again with Glass over the telephone, and he told me
that the Senate Committee had unanimously endorsed this amendment; that
he believed in it, and that he should do his best to secure its passage.

As to Governor Meyer's statement that I should have consulted with

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the members of the Board, t would say that it was 15 minutes before
closing time - 1t00 p.m. - and I assumed that Governor Meyer had gone
to New York theliay before, as usual, although I know now he did not do
so. In any event, however, it was not a Board matter, but purely
personal between Glass and myself, and even if / had read the amendment
to the Board and it had voted it down, I should still have sent it in
response to Senator Glass' personal and confidential request.
July 13., Wednesday:
Early this morning, Governor Meyer dropped in, and said that he
wanted me to understand that his objection yesterday to the Glass amendment was not addressed to the merits of the amendment, but to the
precipitous way in Which it had been attempted to le rushed through by
Glass. He also said he thought Board members ought not to draw amendments
of that kind without consultation with the Board, although he knsw
perfectly well that Dr. Miller had donesolften.
I told him that this occurred between 12:30 and 1:00 on Saturday a short day; that I supposed he had gone to New York for Sunday, as he
usua14 does, and that I had talked with Dr. Miller who stated that he saw
no possible objection to my sending the draft to Glass. He then left.
Later Dr. Miller came in and said that Governor Meyer had had a half
hour's conversation with him on the telephone last night, asking him what
he (Governor Meyer) should advise the President as to vetoing or signing
the bill containing this amendment, and Miller said he went over the Whole
matter and told Governor Meyer that he thought the amendment was well drawn
and copper-riveted., and that in normal times he would quickly accept it,
but that in these abnormal times he felt it might do no harm, and it might
do good; that he certainly would advise the President not to think of
vetoing the bill because this amendment was contained in it.
While Miller and I were talking, Senator Glass called us up, laughing,
and said "Well, the administration went into a spasm over my amendment
yesterday, pulling every wire in order to defeat it, but as you know, the
Senate passed it without even a roll call."CC This morning the President
had. afconference at the White House at which Ogden Mills, Governor Meyer,
and flthink he sati)Senator Robinson, the Senate minority leader, and it
was very quickly agreed that the amendment was perfectly sound, feasible,
and absolutely necessary, and Glass said now the administration is in
a spasm for fear they will not get it. Glass said that Meyer and Mills
had both been down to see him, and told him all the above. 1)
Glass said that he saw no reason why these notes should not be
collateral for Federal reserve notes, and Dr. Miller agreed with him, and
I told Glass that Miller had made this same criticism yesterday. Miller
finally suggested that the clause forbidding their use as collateral simply
be stricken out, Which would lattice them eligible subject to regulations of
the Board.
At 12:00 the Board came together, and Governcr Meyer tried
square his opnosition of yesterday with his approval of today.
thought there was no doubt there were many people who could not
and yet who had good collateral, and that this measure would do

his best to
He said he
get credit
good; that

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72.

it would not be in competition with member banks, because the Federal
reserve banks could loan only after proof that the menber banks in the
vicinity dtinot care to, or could not, make the loan.
Mr. James said he insisted on his protest being made part of the
record, — not against the merits of the amendment, which he said he was
prepared to accept - (yesterday he violently opposed the amendment on its
merits) but against the manner in which it was introduced, without any
notice to the Board. Governor Meyer said Senator Glass was apologetic
for having acted so quickly, but he said there was such a serious condition
- and Congress about to adjourn — that there was no time to go through the
regular channels of communication with the Board. The me ding then adjourned
until 4:30 p.m. to take up the matter of proposed regulations under this
amendment, assuming it to be law.
Governor Meyer said the House would. probably strike out all of the
Senate bill after the foregoing clause and then put it in the House bill
changed ?aactly to meet the Senate amendments, as Garner would probably
insist on this to satisfy his pride.
Miller told me thathe thought the Glass amendment furnished the
bridge over which Garner gould go and save his face, and yet help the
President by removing one of the obstacles to his signing the new amergenqy
Reconstruction bill.

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73.

.1)_42„,., 1 janinfility
The Governors met with the Board in an open market confe
rence
this morning. Governor Meyer gave a resumA of
the situation, saying
that the open market policy had been effective,
and expressing the
opinion that it would be very ill-advised and
dangerous to stop it;
that we ought to go on, as the operations from
now an would have much
more force than they could before, because of gold
exports. Governor
Harrison then addressed the meeting, showing
the good effect of open
market operations up to the present late, and expre
ssing the firm
belief that we should continue keeping the exces
s reserves at about
250 million dollars.
Governor McDougal expressed the olAnion that we shoul
d stop
buying, and C.S.H. pointed out to him that he origi
nally voted for the
major operation, - 500 millions on April 12th
- and asked him whether
he did not believe it would be dangerous to
stop completely now. He
said he could see that there might be some dange
r from it.
Governor Calkins thought it was not necessary
to keep up the
amount to 250 millions excess reserves, but
that it would be all right
to go on keeping the reserves at about their prese
nt status - a little
over 200 millions.
Governor Young suggested that while he was origi
nally opposed to
the operation and might vote to discontinue if
that were the sentiment
of the conference, yet otherwise he believed
it would be wise to proceed
and buy a little each week so that the public
would not see or feel we
had discontinued our open market policy.
Secretary Mills addressed the meeting, expressing
the firm belief
that to stop purchases now would be disastrous
.
Governor Meyer, in his opening address, spoke of
the proposed
amendment offered by Senator Glass permitting
direct loans to individuals
etc. He said that all over the country bank
presidents are stating
that everyone entitled to credit can get
it. He said this was pure
"bunk!" - that he knew, and everyone knew,
that all over the country
people who were entitled to credit with satisfactory collateral for
business purposes - were unable to procure it
from the banks. Secretary
Mills statel that only this morning he had met
two ,7entlemen who stated
positively that credit was not available even
to mawborrowers who had
good collateral. He said that one repre
sentative of the Souther-Pacific

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74.

Railroad told him he had made an examination all along their lines of
customers who furnished them freight, and that he was satisfied that
many of these customers wanted to go on and manufacture, were good
risks with satisfactory collateral, yet were not able to obtain credit.
In the afternoon, discussion as to the open market policy was
resumed, and there were same expressions of opinion on the proposed
draft of regulations uncier the new Glass amendment.
C.S.H. heard today, indirectly, that Mr. Morrill Who was down
at the Senate When the Glass amendment was introduced, called it to the
attention of Ur. Ballantine, the Under-Secretary of the Treasury, who
bitterly opposed it, and did all in his power to defeat it in the Senate
and in the House, it that when Ogden Mills returned from Boston he
quickly reversed this procedure and did, and is now doing, all he can
to secure its passage.
After the morning meeting, Governor Harrison told me that he
thorouday favored the proposed Glass amendment, but that he would go
oven farther, - he would not have the condition imposed that the borrowez
must first try to obtain a loan from a member bank. He seemed to be
almost enthusiastic about it.
Governor Young told me that at first he was opposed to it, but
further examination he was inclined lo think that it would be a
an
that
very wise measure to adopt. In the afternoon session, Governor Meyer
announced that the President would be very glad to meet the Governors
this ev-ning. Nothing was said about the Federal Reserve Board members.
After tiaking the matter over, the Governors felt that it might be very
embarrassing if the public were to know that the Governors all went to
the President, and might create a false impression, and therefore
Governor Meyer said he would tell the President that he felt they had
better not come.
July 15_. Friday:
The Board continued its meeting with the Governors. The Governors
voted as follows; - 9 to 3 for the resolution given below:

Moved that the Executive Committee be authorized to
buy Government securities to the extent necessary to
maintain excess reserves of member banks at approximately
200 million dollars, total purchases to be limited to the
amount previously authorized by the Open Market Poliqr
Conference Which is 207 million dollars. For the guLance
of the Executive Committee it was the sense of the
conference that except in unusual or unforseen circumstances
purchases should not exceed 15 million dollars a week, but
for the next four weeks should be not less than 5 million
dollars a week. The three votes arl-Linst were -robably
Governors cDoll-al, Youn,-, and Seay.

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Federal Reserve Bank of St. Louis

The meeting then took up the question of regulations covering
the new Glass amendment. After much discussion, it was determined that
a limitation should be put upon the Federal reserve banks as to these
loans to individuals to 1% of the capital and surplus of Federal reserve
banks, unless a larger sum were allowed on application to the Federal
Reserve Board.
It was also determined that the rate of interest to be charged
should be practically the customers rate charged in the district. Some
thought that the minimum rate should be the rate for loans under
Section 10 (b) of the Glass emergency bill. This was not finally
deternLned, but the consensus of opinion seemed to be that these dhould
not be regarded as penalty loans, and therefore the custaners rate should
generally be followed.
Governor Harrison
The matter of securities was then taken un.
stated that he thought clearly that the Anendment would permit the
Federal reserve bank to give a credit an its books to the individual
borrower, and also seemed to agree that if this were so, a fixed balance
might be required as is the usual case with member banks, and that this
fixed balance would constitute the security Which the amendment calls for.
Dr. Miller said that it would be very dangerous to permit the
Federal rescr.:. ve banks to give credit on its books to the borrowers. He
felt that they should give a check for the full amount of the loan, which
the borrower could deposit in some other bar*. This matter was not finall
determined..

C.S.H. raised the question Whether a farmer, for example, could
give a direct note to the Federal reserve bank, secured, of course,
by an endorsement and satisfactory collateral. Governor Harrison
expressed the opinion that this could be done, but Mr. Wyatt said it
was a debatable legal question. It was determined, therefore, to leave
the regulations as they are, which seem to imply that no such direct
loan could be made, subject to determination in the future.
The meeting then adjourned.

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Yederal reerve direct discounts (Contid.)
Miller and Gov. Meyer appear very foolish in having Board reouest
Miller to 7o to Hoover and object to the praoosed Amendment
axle. ask him o veto it on ground that the Board had not
been consulted.
Later, as shown above, Miller chanced his mind.
July 13, 1932. 36.
Board met to consider a circular to be issued as to the amendment,
prepared by Wyatt.
They were so stringent that Gov. Meyer said the Board would be
charged vdth bad faith.
All agfeed that the paper should be eligible as collateral for
Federal reserve notes.
(0..‘;.H.is draft originally forbadftlds but Glass struck out the
prohibition, leaving the amendment silent as to this.)
The Board members asked C.S.H. to write Glass to insert partnership
after corporation whenever it ap,)eared.
C.L:.H. wrote Glass and Vest added a oostscript :,flowinL the
exact changes.
July 13, 1932. 36,37.
James insisted on having his protest against the amendment nut
into the Record and intimated that he should refuse to
join in the r-quired "five affirmative votes"
July 13, 1932. 37.
The H.R. -)assed the Emergency Relief bill, without the Glass
amendment.
The bill has been referred back to Conference Committee of which
Glass is a member.
July 13, 1932. 39.
Gov. Meyer attacked C.S.H. at Board meeting for not having consulted
the Board before sending the zvmendment to Glass, but as
shown above, Gov. Meyer went *ith Ogden gills to Glass
Wednesday morning July 13, and told him that they and the
administration Yiould solidly support the ameniment.
C.S.H. is jad they di but, as a fact, their sta:Lement to Glass
was in direct violation of the vote of the Board on July 12,
requesting Gov. Layer to inform the President (which Gov. Meyer
got Miller to do) of its o:0-)osition to the amendment and
its

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Pedoral reserve direct aiscounts (Contld.)
reque:,t for a vetot
Gov. Meyer exnlained to Board hi action, sayin. there was
no time in which to consult the Boardl
He however paid no attention to 0.5.H.Is exolanation that there
was not time to consult Board when he sent his amendment
to Glassi
July 13, 193. 43.
Wyatt said !:orrill -sked Glass whether he intended to permit
direct advances to individuals under the amendment, and
he said Yes.
July 14, 1932. 39, 40.
Miller told "J.S.H. of the talk he had with Hoover in op-)ositi-,n
to the amendment.
He said Hoover asked whether any member of the Board was
directly connected with this proposed amendment; that he
replied affirnatively but vaguely without aisclosinc C.S.H.Is
name; that Hoover then asked snecifically who it was, but
that he demurred at giving this infonnution; that Hoover
said he had a right to know; that Hoover then asked, "Was it
Mr.
_, naming a member, not J.0.H: that he did not
tell him of C.H.H.Is connection with it.
Hiller said that when he first called up Hoover to make the
appointment, he told him he knew all about the proposed
amendment.
July 14, 1932. 40.
At the Governors Conference Gov. Meyer spoke of the proposed
Glass amendi:Lent. He said that Bank:Presidents all over the
country are saying that everyone entitled to creait can get
it; that this as "bunko; that he knew and everyone knew
that all over the country people entitled to credit, - ith
satisfactory credit for business purposes, were unable
to procure it from the banks.
Sec. _ills stated that only this morning he had met two men who
stated positively that credit was not available even to many
borrowers who had -,;ood collateral.
Sec. Eills said that one officer of the Southern Pacific
told him he had made a n examination all along their lines
of customers who furnished ti.em freipjht, and Vh t he as
satisfied that many of i—le2e customers wanted to resume

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Federal Reserve Bank of St. Louis

...11•40.111.11111Pftowieartir

78.

Federal reserve direct discoun s (Contld.)
mL.nufacturin!7, were rood risks with satisfactory
collateral and yet could not obtain creLit.
July 14, 1932. 41 (1) (2).
heard indirectly today that 1orri1i, who wal down at
the Senate when the Glass amend.ment was introduced, told
Under Secretary Ballantine about it and that he - Bpllantinedid all in his power to defeat it in the Senate, and also
in the H.P..; that when Ogden hilts returned from Boston he
quickly stopped this and now is doing all he can to s'cure
its passage.
July 14, 1932. 41 (2).
After the morning meeting,Gov. Harrison told C.S.H. that he
thorouenly favored this amendment, but that he would even
jc) farther, - that he favored omitting the condition that
the .ould-be borrower must first try to obtain the loan
fram a member bank.
Cloy. Harrison seemed -ost enthusiastic about the amendment.
July 14, 1932. 41 (2).
Gov. Young told C.S.H. he was at first oposed to the a.mendment
but that, on further consideration, he was inclined to
think t was a very wise measure to enact.
July 14, 1932. 41 (2)
The Governors Conference consiiered regulations under the
amendment.
It was ,finally recommended that these loans should be limited to
of the canital and surA.us of the F.R° banks, unless
the Board unon request allowed a larFer sum.
July 15, 1932. 41 (3).
The Governors favored the same discount rate as that charf;ed
custoers in the r.a. district.
Some thoucht the rate shoula be the same as Sec. 10 (ID) loans
under the Glass emergency bill.
The rate was not settled but the consensus of o:)inion seed to
be that these loans should not take a penalty rate, and
that the customers rate should be fo lowed.
July 15, 1932. 41 (3)
Gov. Harrison felt that the Feder-2,1 reserve bank could, if it
desired, give a book credit to the individual 1- orrower, and
t_at ,L fixed 'balance mis-ht be required as in oases of

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Federal Reserve Bank of St. Louis

79.

iederal reserve direct discounts (Contld.)
loans frora member banks, -nkt that this fixed 'oa.lance
would constitute the security reouire.l. by thearaendment.
Dr. Miller thouzht it would be 7ery darrE;erous to allow such
book credits, and that the borrov:ers should receive a
check for the loan, which h)could denosit in a member bank.
The matter was not finally disnosed of.
0.6.H.raised the euestion whether e.g. a farmer could f:ive his
direct note to the Federal reserve bank, si-cured by
indorsement and satisfactory security.
Gov. Harrison said this could be done, but Wyatt said it was a
dOubtful question.
It was determine:i to leave the regulations as they ;re, which
seem to inrely that such a direct loan could be made, subject to further determination.
July 15, 1932. 41 (3) (4)
The papers yesterday had Hoover's ctatement
to amergency Relif
bill and of his defeat of Garner's plan for individual
loans to Reconstruction Finance Corporation, but Hoover
never mentioned the Glass amendment.
Evidently he looked on this as a Democratic measure which he c1.71
not want to give any credit for!
July 18, 193. 43.
Board took tr:) Glass amendment.
Ogden I:J.11s said the charge was already being made that Hoover
and he would see to it that nothing would be done under it,
and said he was ready to begin work under it at once.
July 19, 1932. 44.
0..H. moved that the Board make an
survey, either t.lrou6h
itself or tarou,7h the F.:. District Committees, to ascertain
just what would-be borrowers there were who were entitled to
credit, but to whom the member banks were afraid to loan,
in their d'-sire to reaain liquid.
The Board voted this slic;htly modifying it.
Jul' 19, 193;. 44.

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Federal Reserve Bank of St. Louis

80.

Pederal reserve direct discounts (Contld.)
Hoover signed the Emergency Relif bill today.
July 21, 1932. 46.
C.S.H. went over pronosed minutes at' Board for July 12,
sugesting certain clarification of his stateaent as to
origin of Glass amendment, to Which the Board agreed.
July 22, 19S'.. 46.
The Federal Reserve District Committee of the Boston district
reported r.s result of its inquiries (general and not with
specific reference to Glass amendment, but in accordance
with the survey of credit conditions ordered by Board on
July 191
1.

19,0 of cm:I:unities canvassed re)orted that the
banks were unwillinr, or unable to grant credit
for business nurposes.

2. 12;0 said projects were being held u7 for lack of
credit.
3.

7550 renorted need for added borrowing facilities.

evcy

said it was difficult to n)%ce real este
mortgages.
July 22, 1932. 46; 47.

The Federal Reserve District Conimittee of Cleveland renorted
that a large amount of productive business was ready
to be undertaken if credit is nde
July 22, 1932. 47.
Floyd Harrison said the Reconstruction Finance Corn oration hL.d
advanced 90 millions to Secretary Of Arriculture for direct
loans to individual farmers, as proiridcd for by the law.
This shows the absurdity of Hoover's oririmal veto of the Emergency
Relief bill because of Garner's insistence on loans to
individuals by R.F. C., and his original objection to Glass
July 22, 1932. 47.
amendment.
C.S.H. writes Glass and says regulations will be ready early the
July 23, 1932. 49.
coming week.

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Federal Reserve Bank of St. Louis

81.

Fed'ral rec rve direct discounts (Contld.)
Board tool: un regulations.
Wyatt,

Goldenweiser and Smead reported in favor of
permitting Federal reserve banks to acceDt notes of
indiviauals, etc. made direct to the Federa reserve
bank, under the amendment.

kiiller objectea and vunted the power ltmited to notes owned by
individuals Which ,ould exclude notes given direct to
Federal re:erve banks.
Miller di not claim that such direct loans roil15 be illegal,
but thought it a doubtful question 7thich should be avoided
for the present.
said the question would be raised. within 24 hours by
some of the Federal reserve banks.
C.S.H. fvored such direct loms.
Ogden Mills argued in favor with great force.
The Board vote_ down Miller's amendment, and adopted the
proposed regulations with a few minor changes.
July 26, 1932. 52, 5:3.
Gov. Meyer referred to report of Cleveland District Corlaittee
to ef7ect that deserved creait was being withheld by
timorous banks.
July 26, 1932.53.
Gov. Meyer said he had sent a co-)y of the C1Plieland report to
Hoover and read to Board (very indistinctly) Hoover's
reply which was as follows:
The White House, Washington.
July 23, 1932.
Hon. Eugene Meyer,
Federal Res,erve Board,
WasAinzton, D.

1.1y war Gov. Meyer:
I am in recei-,t of your letter of July 22nd
enclosing fne results of a survey conducted by
the Banking and Industrial Committee of the 4th
Federal Reserve District.

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Federal Reserve Bank of St. Louis

82.

Federal reserve direct discounts (Contide)
This statement is a connlete indictment of the
banking situation because its conclusions are thpt
loans have been refused through the District and
nrobaUy others of the type subject to rediscount
by the Federal Reserve System, and filpt the result
of these restrictions has been to increase unemnloyment and to stifle business activity in the country.
The conviction I L:et from this document is that
the Federal Reserve S;stem should at once instruct
the Federal rezerve banks to undertake direct
rediscounts under authority provided in the relief
bill.
We can not stand by and see the American peonle,
suffering as they are today and to the extent that
may imneril the very stability of the Government,
because of the unwillingness of the banks to take
advantage of the facilities nrovided by the Government.
I deem it necessary to call the ttention of the
Board to the fact that an emergency of the character
denamina ed. in Sec. 210 of the Emergency Relief and
Construction Act of 1932, has now arisen.
I should be glad if youl;:ould bring this diectly
to the attention of the Board.
Yours faithfully,
Herbert Hoover.
July 23, 1952.

57, 58.

The Board was very angry at this onen attemnt to usurp its
7)owers und-r the amendment and directed norrill to
prepare a draft of renly.
July 26, 19:32. 54.
3.6.H. feels the Board has acted with remarkable sneed, e.g.:
July 9, 1932.
July 21, "
July 26, "

C.6.H. drew the amendment.
Hoover si-ned the bill.
Board sends out its circular of regulations,
effective Aug. 1.

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Federal Reserve Bank of St. Louis

E33.

Pedrral reserve direct discounts (Centld.)
Hoover held the bill 5 days befo2e he would sign it.
The Board within 5 days sent out its circular declaring an
emergency and relations.
July 26, 193. 54.
At first C.b.H. thought that this insulting and illegal letter
meant that Hoover thought the Board was not showing rood
faith in ci_rrying out the amendment, but on second
consideration 0.3.H. believes it was but another manifestation of Hoover's d sire to dominate and obtain personal
credit for everything, and 0.6.11e believes will 11-)ter
publish the letter to show how valoriously he fourht in
the public intent.
July 25, 1932. 59.
The Poard replied to Hoover in a curteous but positive letter
through Gov. Meyer Showing that the Act was passed July 21,
that Hoover held it 6 days before signing it, While the
Board framed regulations and sent than out, declaring an
emergency, to take offect Aug. 1.
See scrap book, Vol. 230.
July 26, 1932. 59.
O.S.H. writes Glass expressing pleasure at the quick way the
Board has nrepared the circular and regulations.
Glas, re-lied that he is glad the Board is not disposed
to treat the amendment as a dead letter.
July 26, 1932. 59, 60.
0..H. exnlained to Ogden Mills the part he had in framing the
0..H. told him of the vote of the Board to
amendment.
ask Hoover to veto it, and the o) osition of Tnder Secretary
Ballantine.
O.S.H. also said he nredicteC. to Miller that when he (Mills)
came back to Washington hewould nuickly see the merits of the
amenthaent.
Mills said Hoover in the beginning had been very badly advised
and gave 0.0.H. to understand he had set Hoover straight.
July 26, 1937. 56.

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Federal Reserve Bank of St. Louis

84.

Federal reserve direct discounts (Cont'd.)
C. .H. writes Glass nraisiivr ork of Board in sending out
the circular and r-ilations. Also sent a cony of the
renort of the Cleveland Business and Industrial Comaittee.
July 28, 1932. 60.

Owen D. Young called on C.S.H.
He said he :as at the Federal Reserve Bank ol Mew York .th
Ogden
and Gov. Harrison and said they were strongly
opnosed to the amendment.
Gov. Harrison said that while it was riht on nrinci2le, today
was a most io-nortune time to try to nass it.
Young said he told them both he %.as delighted with it; that it
would enable the Federal re7erve banks to break the
credit embargo.
Finally Mills telenhoned Hoover that it was all riptit and should
be nassed.
July 28, 1932. 60, 61.
C.S.H. calls on Glass. He said the right to buy commercial paper
was originally in his early draft of Federal Reserve Act, and
was favored by Warburg and Snrn.gue but he struCk it out
to avoid comnetition with the member banks; that his
amenjment carefully voided this.
Glass said Hoover called him un in the morning before he was
out of bed; that he explained the amendment to him --t.nd he
acce,)ted it.
July 27, 1932. 64.
Glass :aid he was sorry Miller did not favor the amendment but
he knew, of course, that C.J.H. favored it, and that he
placed more reliance on 0..ti.H.Is ju4ment than on Miller's.
ex-olained that Miller ouidkly came to favor it.
J.6.H. tola Glass of the vote of the Board directin
to ask Hoover to veto the bill.

Gov. ligyer

0..H. did not tell Gla - s of the imnerative order of Hoover that
it should declare an emergency.
July 27, 1932. 64, (35.

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Federal Reserve Bank of St. Louis

85.

Federal reserve direct discounts (Contld.
)
:Aller reminded C.S.H. that on July 26,
just before Board took
uD the final draft of the circular and regu
lations, Gov. :.:eyer
read the letter from Hoover directing
it to declare anenergency: t-,at this was the most of .ensive
assumntion of
executive authority in the history of
the Federal Reserve Board.
Miler also reninded C.S.H. that Gov. Meye
r read Hoover's letter
in a vary low muttering voice.
0.:).H. as a fct could not get the gist
of it but later he asked
for and obtained it and took a co:iy of
it.
July 28, 1932. 65.
3.z3.H. corrected the minutes of the meet
ing of July 12 as to his
connection with the amendment. Board appr
oved.
Aug. 1, 1932. 68.
Pedera Reserve Bank of New York subm
itted rates from 4?-1 to
renresenting customers rtes in city and
country.
Wyatt said the rate must be the same
in all parts of the Federal
reserve district, but that the bank
by classifying the paper can
put in different rates, but the same
classification must take
same rate throughout the Federal rese
rve district and
regardless of amount.
Au. 2, 1932. 69, 70,
Board considered rates in Gov. 1:1,eyer's
absence, and tentatively
agreed on a rate 2, above regular disc
ount mte, subject to
classification, as above.
Aug. 3, 1932. 70.
James ial-de a savage attack on the Glas
s amendment before Gov. Norris
who came down on another matter.
Aug. 4, 1932. 71.
Board again toed:
, up rates and finally notified Fede
ral reserve
blnks that rates must be uniform throu6ho
ut the District for
same class of paner, but by classifying
different rtes could
be applied but must be same through
the district.
Aug. 5, 1932. 73.
Board had in mind but did not expr
essly say so, the follorirv;
classifications:
1. PaT)er

iven by borrower direct to the Federal
reserve bank.

2. Paper given by en indorse to Fe'te
ral reserve bank.

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86.

Federal reserve direct discounts (Contld.)
3.

aper secured by different kinds of collateral,
e.g. Government bonds, warehouse receiots, c4tle
paper, etc.etc.
Aue. 5, 1932. 72, 73.

Zxecutive Committee of Federal Reserve Bank, Boston, nut in
51v; rte.
The Board wired it had approved 6 for 17.ew York, St. Louis,
Minnea-oolis and one other Federal reserve bank.
C.S.H. was present and directors asked him if Board wanted a
uniform rate in all Districts.
called 112 Wyatt and then told Directors that above
telegram was sent merely for informtion; that it did not
mean the Board wanted a uniform rate.
3.6.H, exolained need of uniformity in each Feeral res rve
district and explained as to clasrificatLon.
said they could nut in the 51-It; rate and he would vote
for it and he believed. the Board wou.ld a-oprove it.
The Directors asked. C.S.H. what he thoucht about the &i

rate.

C.S.H. said the usual customers rte in New England was about
0% in the country at least and that a lower rate mieht
act competitively with the customary 6 rate. althaueh
there was no comnetition in this particular case.
Ripley said if a bank rescrded a particular loan as .very near
the line but would be willing to make it at 6f0 were it not
for withdrawal of their deT)osits, it would seem strange
to give the uirect loan t
The Board then changed rate from 6L to 6,3, it being understood
that later some classifica -Lion should be made.
Aug. 10, 1932. 78, 79.
In reporting above change to Federal Rescrve Boom., the di:ectors
said it was Lone :Ster consultation with C.z..H.
O.S.H. exnlained as above vLr-..t he said.
Aue. 15, 193-. 84.

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Federal re-erve direct discounts (Con7,1 d)
Hoover invites C.S.H. to attend Conference of Chairmen of Business
and Industrial Committees at Denartment of Commerce on
August 26, 1932.
Aug. 16, 1932. 83.
T.ie Federal Reserve Bank, San Francisco, renorted classified rates
on Federal reserve direct discounts, the maximum bein
James objected, favoring 6.
2.S.H. said
should be an .irove:I. as being n arer the cristomers
rates in thE, District, and oD)osed a uniform rate in all
Districts.
Aug. 19, 1932. 86, 87.
The Federal Reserve Bank, New York, asked an-roal of ap)ointment
of Everett Case at $4800 per year. He is tne son of
Chairman Case and married the d.autc;hter of Owen 2. Y0un,73.
James insisted on its Toing over to meetinr; of full Bord.
Aug. 19, 1932. 87.
Board took un Case ap.)intment.
Gov. Mey,,r ap)roved but rest of Board disan2roved and Gov. Meyr
was directed so to inform Federal Reserve Bank, New York.
Aug. 24, 1932. 91
Board tool: un an Francisco rate of 7;2 for Federal reserve
direct discounts.
wanted a uniform rite of 6,2 in all districts.
./14 4z).H., Gov. ::leyer and Magee seemed to prefer 7.
Gov. Meyer was asked to confer witli :7rov. Calkins.
said he would never agree to force Federal re:.ene banks
to nut in a uniform rLte of 6%.
Aug. 24, 19i2. 92, 93.
The Chairmen of the Business and Industrial Committees are meeting
today in the Board room with Ogden
and :law. Meyer.
No membrs invited.
0..H. is inclined to believe that a,_vice of De_ocrats is not
wantedl
Aug. 25, 1932. 94.

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Federal Reserve Bank of St. Louis

iederal reserve direct discounts (Contld.)
In evening, Hoover gave a a7,2ce tion
Caaaittees.

t Whit

House to ..bove

No member of Board invited.
Aug. 25, 193. 94.
Conference -t Department of Commerce beteen Chairmen of
Business and Industrial Commitees an.L other officers
and Boards. Lasted all aay.
Hoover and others d livered addresses.

7rov. I

r also spoke.

An d,xecutive Co-mittee was ;p)ointed to sunervise work of the
Business and Industrial Committees.
Aug. 26, 1932. 95.
Gov. neyer stayed away fran the afternoon cession. He came
into 0.S.H.ts office about 5 p.m. and said he had kept
in the background as the whole matter was engineered by
Hoover, niller, and Owen D. Young.
Aug. 26, 1932. 95.
norrill and James told Board that the Business and Industrial
Chairmen were disgusted at the Conference; that they
were saying that they came down to discuss pr-ctical
questions as to Federal reserve direct dicounts, etc.
but that they had to listen to 7 or 8 long essays
followed by a resolution 'raisins Hoover offered by
Lonsdale of St. Louis, and that ened the m-±, ter.
C.S.H. is stisfied that the Conference was gotten un as a
nolitical move to ',porn Hoover.
Aug. 31, 193. 97.
Hoover in his address spoke of the "failure" of the Bank of
England, - an awful break.
Several told the presiding officer, and. the text was Chan:Jed
to the failure of Enland, - whatever this may meant
Aug. 31, 193:. 97, 98.
The trouble with the Conference was that Hoover took it out
of the hands of the Bord, where it belonLed, and ran
it as a political plan, through Ogden
Aug. 31, 193'2. 100.

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Federal Reserve Bank of St. Louis

69.

Federal reserve direct discounts (Contld.)
Magee told C.S.H. that Gov. Mey.7ris address at the Conference
was poor and did him little credit.
E1, 19:2 100.
•
Miller told C.b.H. that when he explained to Hoover the necessity
of a conference withthe Busines: and Industrial Chairmen,
he told Hoover that our Board should put this through; that
Hoover said that Gov. Ileycr would be of no help; that he
knew him as well as Miller; that it was useless to exnect
help from Gov. Meyer; that he (Hoov(n.) must nut it through
outside of tae Board.
6e2t. 1, 1932. 101, 102.
Miller said that Everett Case Wham the Board turned down
for a:,-lointment by Federal Reserve Bank, rew ",,ork, had got
a job under the Centrd ComIlittee of the lusiness and
Industrial C(.)LI:littees.
$e -t. 1, 1932. 105.
Mtller reminded C.S.H. that when the appointment of Business and
Industrial Committees by the Federal reserve banks was being
considered t the Governors CoSerence, Gov. Harrison kept
silent, although he had been secretly directed by Hoover to
form such a CoLittee in New York.
Cloy. Harrison previously objected to formin such a Coamittee,
at least until Congress adjourned.
Sept. 7, 1952. 109.
Miller again tells C.S.H. of his talk with Hoover about a
conference of Chairmen of Business and Industrial Camrittees,
reftrred to above.
He acLded that Hoover also said — "What can the BoE,rd do when it
has no leadenI
Sept.13, 1932. 111.
The Federal Advisory Council met with Board and among other things
gave renorts as to Federal reserve direct discounts.
Sent. 20, 1932. 115, 116.
Henry W. Robinson of Los Angeles, tae head of the Conference of
Business and Industrial Committees, told 0...H. that the
Glass amendment ',as of great nsycLo1oLic,-1.1 benefit in
iving confidnce to timid banks.
Sent. 20, 193. 116.

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Federal Reserve Bank of St. Louis

90.

Federal resE.rve direct discounts (Contld.)
J.6.H. discussed Federal resrve direct discounts with
Fed,ral Reserve Agent Austin z.J1d Gov. Norris at
Federal Reserve Bank, ithiladel-:hia.
Sent. 22, 1932. 116.
C.H. discusses Federal rserve direct discounts with Federal
Reserve A,:ent Curtiss and Gov. Young at Federal Reserve BeaLc,
Boston.
Sent.23, 1932. 117.
Gov. Young sends C.—H. a letter from Dennett, Chairmrn of
Business and Industrial CommAtee of Boston istrict,
stating that there had been a material change within the
last few weeks; that the few cases of refusal of desirable
cre:its by banks have been taken un by his Com:littee and
that in every case the banks have reconsidered and granted
the loans.
Sept. 28, 1932.119.
Henry W. Robinson called.
C.S.H. gave him the inner history of the llass amendment.
He said it ha

done much :ood and he fully anT)roved it.
Oct. 6, 1932. 126.

Federal Advisory Council met 7:ith Board and reeommended tht
the Glass amendment be chanced so as to read "indorsed or
secured in place Off indorsed and secured"
Nov. 18, 1932. 173.
See - Direct loans to farmers.
Federal Recrve District Committees.
0.6.H. : (:)es to Bo:ton Yith
eyer to attend meeting of
Business and Industrial Committees of Federal Resrve District
of Boston at Federal Reserve Bank.
C..H. addressed Corn. ittee.
June 14, 1932. 1.
niller and C.:;.H. feel that if Board could have had a conference
in Washinrton 7:ith representative men to preDare a genPral
nlan for the Business and Industrial Committees, we would
have - )rogressed much faster.
July 6, 1932. 24.
See - Federal resrve direct .liscounts
Hamlin, leor-e Jr.
Washington Conference.

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Federal Reserve Bank of St. Louis

91.

Federal re,.: ve notes
Glass said Federal relerve direct dis-ounts should be eli-ible
as collateral for.
July 13, 1932. 35.
The necessity for collateral behind Federal reserve notes of
canNacial paner or cold opertes not for safety (as they
are a nrior lien) but as restraint u)on use of ,old in
open rab.rket opm.tions.

On Jan. 11, 1932, Governor Harrison told Governors Conference
that he had sugE sted to Glass an amendment under which
Federal resrve notes could be issued q7ainst any collateral
w _ich Federal reserve banks c.-.n purchase - meaning Government
bonds.
He said the free o1d was down to 4 or 500 mill'_ons although
excess reserves were over 1 billion. The reason for the
difference is the n-2cessity of pledging old behind Federal
reserve note: when commercial paper is d - ficient.
Oct. 14, 1932. 148, 149.
See - Glass emergency bill.
Five day week
See - Salary reduction
Share-the-work
Fletcher, Harriet
See - nrs. Nathan 6. Hamlin.
Fletcher, Senator
Favored retaining )
- rivileced status for Glass ',anking bill.
June 15, 1932. 2.
Free [7o1d.
Gov. Harrison said, was reduced to 4 or 500 nalitqls nitho the
excess reserves were over a billion. The difference was
caused by necessity of pledging gold behind Feaeral reserve
notes in nl..ce of can:lercial paner.
Jan. 11, 1932. 148.
See - Federal re:erve notes.
Freeman, Bishop
Gave nryers at Reptblic:11 National Convention, Chicago.
June 18, 1932. 6.

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Federal Reserve Bank of St. Louis

92.

Fur1ou,j1 system. 13, 14.
See — Economy bill
Salary reduction.
=MD

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Federal Reserve Bank of St. Louis

93.

asifamo

Garner, Speaker, H.R.
C.S.H. told Glass that if, had asked that the power to make
loans direct to individuals be „s-iven to Federal rerve
banks instead of to R.F.C., C.S.H. would be glad to
sup)ort it.
July 9, 1932. 28.
Miller told C.S.H. that the Federal reserve direct discou
nt
amendment of C.S.H. and Glass furnished a bridge over
vihieh Garner could [To and save his face, and which also
removed for Hoover an obstacle in the way of sing the
emergency reconstruction bill.
July 15, 1932. 35 (2)
Hoover gives out statement that he had defeated Garner claim
for direct R.F.C. loans, but does not mention the
P.R• direct discount amendmenti
July 18, 1932. 43.
See - Federal reserve direct discounts.
The inconsistency of Hoover's objection to direct loans to
individuals by the R.F.C. is shown by fact that the R.Y.C.
advanced 90 millions to Sec. of Agriculture for direct
loans to farmers.
July 22, 1932. 47.
Gianini, Bank of Italy, etc.
Miller said Gov. Meyer was badly beaten by Gianini when he
persuaded Board to have Gov. Calkins try to intervene in
the Walker-Gianini fight for Bank of America proxies; t'at
Gianini could get all the help he wanted from the R.F.C.,
for if refused he could publish the above correspondence
which would tend to injure both Gov. Meyer and the Board.
Sept. 1, 1932. 103, 104.
Miller said he had heard that Gianini and Sen. Hiram Johnson
had joined to attack Hoover over the Board's interference
in the Walker-Gianini control.
Oct. 27, 1932. 157.
Gifford, Cong.
Gives address at 75th anniversary of sellin!, off of To
Mattanoisett.
Aug. 9, 1932. 76.

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Federal Reserve Bank of St. Louis

Garardeau, Janet
C.S.H. iines with Mrs. Horry to meet, whose great great
grandfather, Milton Richards, married the sister of
C.b.H.ts grandmother, Mrs. Nathan Hamlin. This would.
maim us 3rd cousins, one dgree renaved.
Nov. 23, 193's. 190.
C.S.H. gives Thanksgiving lunch to, and tothe Conrads.
Nov. 24, 1932. 190.
Glass amendment
See - Federal reserve direct discounts.
Glass, Senator, Glass Banking bill.
Moved in Senate that his bill be restored to its privileged
place on the docket as unfinished business, !Lich it had
lost during ht absence.
Sen. Norbedk objected.
Sen. Borah, Ribinson _nd Fletcher favored.
Sen. Reed objected.
Sen. Glass said:

"Aal I want is to have the Senate determine whether
it is going to shelve the banking bill and assume
responsibility for it. I do not want to bother with
it any longer if that is the case.
Sen. Wheeler objected.
On motion to proceed with the Naval appropriation bill, - which
would d- feat the Glass motion, the vote was 44 aye, 25 No,
27 not voting.
It was a party vote, - the ayes being chiefly Renublicans and
the Noes principally Democrats.
Glass had agreed to lay aside his bill at any time for
consideration of an appropriation bill, the Wagner relief
bill or the bonus bill.
This places upon the Renublican Party the direct resnonsiblity
for shelving the Glass bill.
The Republican national platform had a vague clause favoring
greater control over speclo.lation bat its lack of sincerity

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Federal Reserve Bank of St. Louis

Glass, Senator (Contld.)
was shown by above vote.
See - Cong. Record, June 15, 193-. Page 13403.
June 15, 1932. 2, 3.
C.S.H. called un Glass's secretary to get an analysis of the
vote to shelve the Glass bill, but he was out.
Glass, later called up C.S.H. and said he would send the analysis
ar the vote, but that it was strictly a Party vote.
June 17, 1932. 5.
C.S.H. asked Glass as to the probable attitude of the conferees
on the economy bill. He said everything was mixed up.
C.S.H. said we all looked to him as the Father of the Fed-ral
Reserve Systen to take cure of the Board and its em)loyees
as to salaries.
He said he would do all he could and finally said he would attend
to the matter.
June 17, 1932. 5.
Miller said Gov. Meyer told him that Glass was p;oing to attack him
(Meyer) in connection with the R.F.C. and asked him to use his
influence with Glass to persuade him not to do so; that he
replied he never went to Glass unless he sent for him, - that
it would be useless.
July 6, 1932. 25.
C.S.H. called up Glass and spoke of an amendment authorizing Federal
reserve direct loans.
July 9, 1932. 28.
See - Federal reserve direct discounts.
At request of Floyd Harrison, C.S.H. exnressed to Glass the pleasure
of the Board that Glass favored relieving Gov. Meyer from his
duties on the R.F.C. The Board approved C.S.H.Is letter.
July 13, 1932. 37.
The Glass amendment permitting issue af national bank notes
against other U.S. bonds than those now
was first
introduced by Glass as an amendment to the Price stabilization
bill.

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Federal Reserve Bank of St. Louis

96.

Glass, Senator (Contld.)
Later Borah -out it in as a rider to the Home Loan Bank bill,
altho utterly foreign to it, and in this form it became law.
Glass originally -)ut it in to

efeat the stabilization bill.
July 22, 1932. 48.

Daiger asked C.S.H. to give him a copy of Gov. Harrison's letter
to Board of Aloril 9, 1929, ,-1..ving reasons for the denied
increase in discount rates.
C.S.H. dc'clined and referred him to Glass who had the letter, and
later C.S.H. wrote Glass sending him a co-y of his letter,
telling him he must decid3 whether to give it to Daiger.
C.S.H. had referred to this letter in his testimony before Glass
Committee (p. 172).
C.S.H. told Board of this.
Aug. 24, 1932. 90.
Glass, in New York Times, makes terrific attack on Hoover for
saying we were in February 1932 within 2 weeks of going off
gold standard.
Oct. 8, 1932. 132.
Glass, in New York Times, again attacks Hoover - gold standard- and
quotes Gov. Meyer's statement to Senate Calmittee on May 15,
1932.
Oct. 13, 1932. 144.
Glass attacks Hoover - gold standard - in mai° address - a terrific
attack.
Nov. 1, 1932. 160.
The Governors and Federal Reserve Agents in joint conference
reported that each Governor would write Board as to camments
on Glass banking bill.
Nov. 18, 1932. 170, 172.
Gov. Harrison saia Congress should appoint a joint co,Amittee to
consider banking reform.
3..H. asked him whether by that he wanted to shelve the Glass
hill but he gave a very equivocal reply.
C.S.H. asked him if the chief points in the retort of the branch
bank committee were inconsistent with the Glass bill,and
he gave a very equivocal answer.
Ogden Mills later said he would in his annual report recomilend a
joint committee to consider all pending legislation.

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97.

Glass, Senator (Contid.)
Evidently null and Gov. Harrison are nlotting to shelve the
Glass bill.
Nov. 18, 1932. 170, 171.
The Federal Advisory Council told Board it had spent 8 hours
considering the Glass bill and croen market questions. '
The Council made no recommendations as to the Glass bill, but
confined itself to the Glass emergency bill.
C.6.H. believes Gov.Harrison and Mills had used presc;ure to
shelve consideration of the Glass bill in view of their attempt
to secure a joint comIlittee to consider all banking reform.
Nov. 18, 1932. 173, 174.
See also - Federal reserve direct discounts.
Glass emergency bill (Glass-Steagall Act)
Was not pa_sed to avert any danger of going off of gold. standard,
but to make it easier to pay off withdrawals of foreign
deposits and to deal with hoarding at home.
Oct. 14,1932. 147, 148, 149.
Gold standard
See - Harrison, Gov.
See 20 Diary 135.
Gov. Harrison praised.
Nov. 14, 1932. 166.
Federal Advisory Council recammened extension of 1 year provisions
of, for a y-mr at least.
Nov. 16, 1932. 173.
Under Gov. Meyer's administration the Board was never consulted
in preparation of.
Nov. 19, 1932. 179.
Glass-Steagall Act
See - Glass emergency bill.
Gold, Earmarked
On Dec. 2, 1931, Gov. Harrison told Board he had notified
Bank of France that any increase of its deposits caused
by running off of acceptances, must be exported or
eamarked.
See 20 Diary, 8.
Oct. 14, 1932. 149.

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96.

Gold exports
O.S.H. said that until now, had p ,2vented a fair test of open market
June 15, 1932. 1, 2.
policy.
See - Gold, Earmarked.
Gold, Free
Down to 4 or 500 million while exdess reserves are over 1 billion.
Caused by necessity of :pledging gold behind Federal reserve
notes to make up for deficient eligible paper.
Oct. 14, 1932. 148.
See - Federal reserve notes
Harrison, Gov.
Gold standard
C.S.H. called Smead's attention to Hoover's statement in his
speech in Demoines, October 4, 1932 (See 233 scr. book 33)
that the Secretary of the Treasury told him we were within
2 weeks of going off of gold standard.
C.S.H. asked if there had been any such danger would not the power
to lower required reserves be ainple to cure the situation?
Snead computed the figures and said lowering of required reserves
would probably have not released enough gold to cure such a
situation, had it existed.
He added, however, that there had never been a moment when such a
possibility could not have been met by letting Government
holdings run off without replacement, thus forcing the member
banks to rediscount - which would have furnished eligible
paper which coUld be exchanged for gold - over the 40r: required
reserves— held as collateral for Federal reserve notes; that
While such rediscounts might have affected the SystecOs open
market policy, yet the gold standard was at no time in peril,
although some in the Treasury seemed to feel so.
Oct. 6, 1932. 127, 128.
Glass in New York Times make_ a terrific attadk on Hoover for above
Oct. 8, 1932. lal.
statement.
Gov. Meyer apparently wanted Goldenweis_r to put into Federal Reserve
Bulletin published about Oct. 15th a review of gold situation
to bolster up Hoover's foolish statement.
The Board, hi ever, defeated this and directed Goldenweiser to
limit himself to review of the c;old situation for the last
month only.
Oct. 11, 1932. 136.
C.S.H. said any attempt to defend Hoover would subject Board justly
to a charge of meddling in politics.
Oct. 11, 1932. 138
See - F.R. Bulletin
12, 1932. 141.
Oct.
Goldenweiser.

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Gold standard (Contld.)
Miller said Hoover's reference to the :Old standard had killed
him In the East with all bankers; that some former large.
contributors haL refused to give a dollar because of it;
that it was one of the ,-:ravest mistakes aver made by a
Oct. 12, 1932. 143.
President.
Glass, in New York Times, again attacks Hoover for his rtatement
and quotes Gov.Meyer's contrary testimony before Senate Commit ee
on May 15, 1932.
Oct. 15, 1932. 144.
Wyatt said that in June, 1932, the Treasury asked him for an ooinion
whether the Trading with the Enemy Act authorizing the President
to control gold exports was still in force; that Gov. Meyer
said it was not a pressing question and directed him not to do i#
that the Treasury then orlied on Attorney General for an
opinion, who replied it was still in force.
Wyatt said some in the Treasury feared we were in dan er of going
off of the gold standard.
Oct. 13, 1932. 144, 145.
Daier told C.S.H. he had verified the date of the alleged statement
of the Secretary of the Treasury to HoovT as to the danger
of rroing off the o1d standard within 2 weeks, and that the
date was that on which the White House Conference agreeing
to the Glass—Steagall emergency bill was held, — Feb. 10, 1932;
that he had also ascertained that the authority for the sta - ement
was Ogden nills and Gov. Harrison of the Federa Reserve Bank
of New York,
Oct. 14 1932. 147.
C.j.H. looked up the January and February sta ements of Federal
Reserve Bank of New York, — the .aonthly Review and the
Busines and financial summary, neither of which contained the
faintest intimation that there was any doubt of our remaining
on the gold standard. (See scrap books)
Oct. 14, 1932. 147.
Hoover seemed to think that the passage of the Glass—Steagall
Emergency Act removed this danger, but if this Act had not
been passed it would not have affected the 7old standard. Not
a dollar of :old was made available by this 44ct not available
before by suspending onen mrket purchases of Government
bonds, thus forcing the member banks to rediscount them
furnishin: elikible paper which could be pledged as collateral
for Federal reserve notes, trius releacing an eoual v.ount of
cold.

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100.

Gold standard (Contid.)
The Glass-Steage.11 Act made it ossible to meet j7o1d eTorts
and hoarding and at the same time keen u our open market
policy, and if the Act had not been nassed it might have been
necessary to modify this nolicy, but this had nothing to
do with staying on or going off the 7o1d standard.
Oct. 14, 1932. 147, 148.
Gov. Harrison, on Jan. 11, 1932 told the Governors Conference that
he had sug,,7ested an amendment permitting Federal reFPrve
notes to be issued against any collateral which Federal resrve
banks can now nurdhase, - specifically, Government securities.
He said the free gold was now drawn to 400 or 500 millions,
althouh the ex2ess reserves were over 1 billion; that the
necessiti for usinE the excess reser.es to --)ut gold behind
Federal reserve notes to make un -7or 1Lck of e1i2ible paper,
was becomiwr a menace to the Federal Reserve System.
Gov. Harrison never alluded to any danger to the gold standard; such
a thought was in no one's mind, nor was there in fact any
such danger.
What he had in mind evidently was the danger that onen market policy
might have to be modified, if the leEislation were not
enacted.
See 20 Diary, 135.
Oct. 14, 1932. 148, 149.
Gov. Harrison must also have had in mind that such an anendment
would make it easier to ask the Bank of France to take down
its denosits.
He told the Board
France that
running off
See

On Dec. 2, 1931, that he had to.the Bank of
any further increase in its denosits caused by
of accentances must be earmarked or exnorted.
20 Diary, p. 8.
Oct. 14, 1932. 149.

Gov. Meyer on January 19, 1932, told the Board that he and Ogden Mills
wanted to tell Bank of Prpnce to remove its d,Tosits at once.
See 20 Diary, n. 8.
0..H. objected that this would scarcely be done without an
amendment. Gov. Meyer said he would like to have the
amendment passed (Glass-Steas•all.kct) but that it was not
neces;:ary as it would be practiable to get 50 or more banks

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Federal Reserve Bank of St. Louis

101.

Goia ,tandrid

(Contld.)

to agree to rediscount and thus fill up the gap caused by
gold e;oorts to pay off Bank o' France deposits.
C.S.H. is satisfied that flov. Harrison's reason for wanting the
amendment was:
1.

To facilitate onen mket operations.

To be able to force Bank of France at once to
withdraw its deposits.
CS.H. believes Sen. Glass never conteunlated 1.
Oct. 14, 1932. 150.

Governor Harrison's gloomy statements at Joint Conference of Governors
and Federal Reserve Agents, as to withdrawal of ''oreign
investments, loss of gold and hoarding, satisfies C.S.H. that
he was nrobably the one who was responsible, with Ogden
for Hoover's E.tatement, as stated by Daiger, on Oct. 14, 112.
Nov. 14, 1932. 166.
The date referred to accordin_ to Daiger was the conference ot Whie
House on Feb. 10, 1932, at which the Glass-Steacall Act was
agreed to.
Yet in Feb. 1932, the Board ap-oraved the su,
:gestion of Governor
Harrison at the Governors Conference to increase purchases of
Government securities to 500 millions ner mnntht
If the Board or Governor Harrison had before it the .iancer of
going off the Field standard, such action would have been
ridiculous.
Nov. 14, 1932. 167
Miller said he had had a long tat with Hoover who told him he had
had a conference on Feb. 9, 1932, thenight before the Conference
which af:reed on the Glass-Steagall Act, at which Ogden jlls
and Gov. Harrison were present; frv,t he had a memorandum of
trim Conference which was his authority for his reference to
going off the 'o1d standard in his Dec noines seech.
Hoover did not say whether he prepared the memorandum or Thether
it was presented to him.
Nov. 26, 192. 193.
See.Harrison, Gov.
Hoover.

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Federal Reserve Bank of St. Louis

102.

Goldenweiser
136, 137, 138, 141, 14:-, 142.
See — Federal Reserve Bulletin
Gold standard
Meyer, Gov.
Go)dspeed. 45, 46.
See —Auld. Lang Syne
Government securities (See also 1.overnors Confe
rence)
C.S.H. attended meeting af Executive Committee
of Federal
Reserve Bank of :er York.
Gov. Harrison said if his bank bought any furth
er government
securities without particination of the other Feder
al reserve
banks his reserve ratio would be down to
while Boston
and Chicag.o were 70%.
Gov. Harrison said Boston an Chicago I. 1. taken
aver some of
his securities but declined to partici ate
in farther
nurchases; that holdings would fall off unles
s some were
bow:ht t.is week and he seemed to favor bi.vin.
-7 no more
unless Boston and Chica-o would partici-3a
te.
Gov. Case said this would have a bad psychologi
cal effect as
the nublic .night think that the open market -poli
cy had been
changed..
Owen D. Young agreed with Case.
Gov. Harrison called up Gov. Meyer who thoug
ht it better to buy some
to prevent a falling off.
The directors felt there was a moral respo
nsibility On Fed ral
Reserve Board to bring Boston and Chicago into
line.
They asked C.S.H.Is a-linion and he said, so-eat
:the personally, t_at
he apTeed with them; that open market opera
tions were
es:entially a Systam matter, like a central bank,
and should
to be regarded by the Board even thoueh its
centralized power
were given to Board only by voluntary agree
ment with the
Federal reserve banks.
Gov. Harrison said that a!hile the Board had
no direct nower to
order particination, yet if New York IrJrchases
-7,ul1ed down its
rates the Board could force any federal reser
ve bank to
rediscount its discounted naner.

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Federal Reserve Bank of St. Louis

103.

Government securities (Contld.)
Govern.° r, Harrison finally said he 7ould. try to induce Boston
and Chic,
..-p to participate voluntarily.
July 5, 1932. 18, 19.
0.S.H. discussed above ith Federal Res-rve Board. Gov. Meycr
said we were toc busy with other matters to discuss this
and sarcasticaltrsw;gested that C.S.H. take it un with Boston,
which C.S.H. at once said he would do.
July 7, 1932. 27.
If Glass emergency bill had not passed we might have had to
mouify our eolicy in buying Government securities but this
is all.
Oct. 14,193. 147.
See — Governors Conference.
Govcrnment trans--)ortation orders.
0.6.H. issued, in connection with travel on official businesl- as
follows:
From Mattapoisett to Boston to at';end Directors
meeting of Federal Reserve Bank of Boston and return
to New Bedford, Aug. 10, 1932. 82.
Also from Providence to Washino:ton.
C.S.H. naid his fare from Wadhin-ton to Providence.
He would have made the trip frlm Washington to Boston
and return for the meeting in any event, but as he
went to Matta-loisett before returning he decid,A to split
the charges.
Aug. 15, 1932. 82.
To Federal Reserve Bank, Boston to discuss Maine
banking Situation, F.a. direct discounts, etc.
Sept. 23, 19,-32. 117.
Governors Conference
Gov. L:eyer and reagee attend meeting of Executive Committee of
Open narket Cauaittee in New York.
June 17, 1932. 4.
Meeting with Board.
Gov. Meyer said the onen m:
.et
policy had been effective; that
it would be ill ac_vised end dangerous to stop it; that from
now on they 7ould be more effective than 'fore becase of
gold a:-.2orts.

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Federal Reserve Bank of St. Louis

104.

Gov.-more Conference (Conti(i.)
Gov. Harrison referred to the 7,00d effect of Government security
nurchases ex-)ressing the ;one that it should keep excess •
reserves at about 250 millions.
Gov. neDoagal said we should star buyinz.
C.S.H. pointed out that Gov. McDou7a1 originally voted for the
major alaation of 500 millions on April 12th and asked him if
it would not be dangerous to ston Dompletely now.
Gov. LicDow-al aamitted there might be some dan,:er.
Gov. Calkins thou6ht it not necessary to keen up excese reserves
to 250 millions, but thoucht the present figure, about 200
millions, Lbout
Gov. Young said that while he originally op)osed these alertions
and would so vote now if that were the sentiment, yet otherwise
he believed it wise to buy a little ea dh we
co that the
nublic would ILA feel we had revPrsed our
Ogden nills caia to stop now would be aangerous.
In the afternoon, the Conference resolved that the Ex.'cutive
Committee be :7iven power to buy to extent necessary to keep
excess reserves at about 200 millions, total nurchases to be
limited to amount previously authorized but not yet used, - 20?
millions.
It was the sense that excent in unusual or unforeseen circumstances,
purchases should not exceed 15 millions per week, but for
the next four weeks should not be less than 5 millions ner week.
This was passed 9 to 3.
C.S.H. thinks the Nos were Gov. McDougal Seay, ,:nc. Young.
July 14, 1932. 41, 41 (1) (gi (31).
See - Federal recerve district committees.
Gov. Harrison ramarkst at, as to F.R. note a ,eniment.
June 11, 1932. 148.
See - Gold. standard
Harrison, Gov.

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Federal Reserve Bank of St. Louis

105.

Governors Conference (Contld.)
Joint Conference of Governors and Fed-ral re erve
Gov. Harrison outlined open market operations bep:inning with
the large ,-)urchases during Feb. 1932.
Gov. Harrison spoke of the reduction of 2 billions of forein
investments, loss of gold and hoarding.
He said things would have been much worse had it not been for
open market operations.
We all took super with Governor Mezrer.
Nov. 14, 193 2. 166, 167.
See — Gold standard
Harrison, Gov.
Salary reductions
Grant, Alexander
See — Grant, Catherine.
GrAnt, Catherine
C.S.H. calls on, in Brookline.
June 14, 1932. 1.
Alexanier, Catherine

nr. Heard dine
Aug. 6, 1932. 73.

Calls on us, -ith nrs. Price Collier.
Sept. 4, 1932. 108
Dines with us, and Ca -st. and Mrs. McNamara.
Sept. 25, 1937: 110.
C.:.H. writes.

Oct. 10, 1932. 135.

Writes C.S.H. acknowledginc letter.
Oct. 14, 1932. 147.
.H

writs.

0..H. telephones.

Oct. 27, 1932. 157.
Nov. 2, 1932. 161
Election night.
Nov. 8,1932. 164.

us.

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Federal Reserve Bank of St. Louis

106.

Grant, Catherine (Contld.)
writes.

Nov. 14, 1932. 168.

Writes C.S.H.
Worried about Franklin Roosevelt.
Nov. 18, 1932. 173.
C..5.H. wires congratulations on her 43rd birthLLay.
Nov. 25, 1932. 191.
Grant, Christopher
0.SH. wires, on his birthday.
Born July 22, 1929.
July 22, 1932. 49.
Gray, Mrs.
C.S.H. meets, at dinner with Lass Connolly.
July 27, 1932. 60.
Greene, Miss. Morgan Library. 15, 16, 37, 38.
See — Auld Lang Syne.
Greene, Theodore Frances
C.S.H. writes congratulating, on election as Governor of R.1:
Nov. 10, 1932.165.
Gresham, W. I.
C.S.H. cites, to Delano as a reason for not -)utting a
Republican in Gov. Roosevelt's Cabinet.
Nov. 19, 1932,
178.
Griffin
Hancock Jr. and Harriet spent niht with us at Mattanoi - tt.
Sept. 6, 1932. 108.
Guardian Trust Co., Cleveland
187, 188, 189, 191, 192.
See — DeCamp
' rancher, Gov.
Guaranty of deposits
Gov. Calkins says he has always op .osed, but in the present
critical conlition of banking he has almost
became reconciled to.
Nov. 18, 1932. 172.

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Federal Reserve Bank of St. Louis

107.
-H-

Hale, Florence
Under Secretary Castle acknowledges a letter from C.S.H.
enclosing ca2y of letter of, praising his services
as snecial Ambassador to Jan.
Aug. 19, 1932. 85, 69.
Hale, :4ary
See - Chase
Hale, Rachel
Hal, Rachel
H.P.H. and Gertrude Myer lunch with, at Unper Marlboro.
June 26, 1932. 13.
0.5.H. writes, describing his visit to the Delanos.
July 6, 1932. 26.
Telenhoned 0.6.H. last night and asked him to dine with her
tonight and to COMB early.
The mesage as mtslaid in Cosmo :Club and O.S.H. did not
receive it until 10:30 this a.m.
C.:).H. could not dine but drove over to tea, meeting there
Mary and Howland Chase and Mr. Rodgers.
July 10, 1932. 29.
C.S.H. called un, and said he would came over soon to dinner.
C.S.H 'called un.
July 25, 1932. 50.
She said she surely wanted him to come over to dinner next
week and would be 71ad to have him bring Charles Warren
with him, - the latter at C.S.H.IE aucf7estion.
July 29, 1932. 66, 67.
C.S.H. dines with.
She said she was going to ask Wyatt and his wife to
come over to dinner before long.
She read O.S.H. a letter from Constance Williams (Lodge)
attadkinr: "Frarie Roosevelt in a most conceited,
absurd way.
Aug. 4, 1937. 72.
C.S.H. wrote, sending a cam of Bertiels sketch of Bishop Doane.
Aug. 5, 1932. 72.
Rachel writes Bertie praising her sketch
Aug. 9, 1932. 79.

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Federal Reserve Bank of St. Louis

108. ,

Hale, Rachel (Contld.)
C.S.H. calls un, and has a eod talk.
Said he would drive over nt-xt week, nerhans with Charles
•
Warren. She sc.id she would be de1ic7hted to have us
any nif:ht next week.
Aug. 19, 1932. 85.
C..H. called up.
Fraulein said she was ill in bed but that she would exnect us
at dinner Wednesday night.
Aug. 22, 1932. 88, 89.
Mary Chase called C.S.H. up to say her mother was still ill
and could not have us at dinner tomorrow.
C.S.H. wrote, a note of sympathy.
Aug. 23, 1932. 89.
Howland Chase told C.S.H. that Rachel was all well again.
C.S.H. rather expected She would write him a birthday letter,
but none cane.
Aug. 31, 1932. 17.
A telephone call from Rachel ':'as sent in to C.S.H.
while he was away. Sent. 9, 1932. 109.

Received

0..H. writes Rachel at Santa Fe, :Tew Mexico, here she
was visiting her son.
Sept. 12, 1932. 110.
Rachel sends C.S.H. a postal with a picture of an old church
at Santa Fe. She wrote on it:
"I am completely surrounded by Democrats here, headed
by ::rs. Lane."
R. 3. Hale.
Sept. 15, 1932. 115.
C.S.H. wrote, saying he assumed she had as a Republican sought
asylum in the beautiful church; that all the churches
in the country vire so filled with similar Renublican
refugees that the signs "standing room only" had to be
put up.
Sept. 28, 1932. 121.
C.0.11, called ui?.
She said she was delighted to hear from me; tillt she had
intended
answering C.S.H.Is letter before this.

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Federal Reserve Bank of St. Louis

109.

Hale, Rachel (Confide)
She begged me to come over at any time for tea or dinner.
.
She said 1:9:L4-had ,;one back to Washi#on, leaving the baby with her.
Oct. 6, 193::.. 127.
While, Rachel was in Santa Fe, Mary and Howland Chase had Mr.
& Mrs.
ayatt at dinner at Rachel's house.
Oct. 8, 1932. 135.
C.S.H. called u-1.
She asked him to came over to tea on Wednesday.
Oct. 10, 1932. 135.
C.S.H. drove over and had tea with.
Oct. 12, 1932. 144.
C.S.H. called on.
She said Ellen Leonard told her that Mrs. Miller tod. her
that
Adolph Miller had told Hoover he should vote for Roosevelt.
Miller told C.S.H. the other day that to vote by mail in
California one must register, and that, b?cause of Gov.
Meyer's illness he had not been able to ;ro to California
to register.
Oct. 30, 1932. 159.
Galled on, and met her sister, Miss Cameron, there. This
was
on Sunday of Thanksgiving week, and C.S.H. exnlained that
Bertie was not to join him until after Thanksgiving
.
Nov. 20, 1932. 182
C.S.H. rather expected that Rachel would invite him to dinner
on
ThankxgivinE Day as one of the principal thins she had to
be thankful for was Howland Chase's appointment, brourht
about largely through C.S.H., thus enabling Mary Chase to
come back and live in Washington, which she was most eager
to do.
No invitation came, how-ver.
Perhaps she herself dined out with her sister, Mrs.
Rodgers.
Nov. 24, 1932. 191,
Howland Chase told C.S.H. that he and Mary dined Thanks
giving
Day with Rachel.
Nov. 25, 1932. 191.

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Federal Reserve Bank of St. Louis

110.

Hale, Rachel (Contd..)
0.3.H. as very lonely on Thankssivin. Day, and although Edith
Hale invited him to dine with her, C.S.H. rould have
enjoyed dining with Rachel.
Nov. "5, 1932. 191.
Ha]. n, C.S.
.4ddress.

Mattapoisett.

Aug. 9, 193. 76.

See — AoceDtance rates
Annual leave
Auld Lang Syne
Continental Illinois Bank et Truzt Co.
DeCai-ap, Federal Ref7erve Agent
Delano
Discount rates
Ernst, Helen
Federal Reserve Bank, Boston, Phila, and New York
Federal reserve direct discounts
Girardeau, Janet
Glass
Glass bill
Glascs anergency bill
Gold standrd
Governors Conference
Hale, Rachel
Harrison, Gov.
Hower
Jaaes
Joslin, Dr.
Lijitenstein
Mattapoisett
Macdonald, Dr.
Magee
Manhattan Company
Meyr, Gov.
Myer, Gertrude
Miller, Dr.
Morrison, Dr.
Nevins, Prof.
Open market operations
Politics
Roosev?lt, Gov.
Salary reductions
Stoessel
Vots
Wilson, Mrs.
Young, Gov.
Young, Owen D.

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Federal Reserve Bank of St. Louis

111

Hamlin, Edward
In hospit.,1 with a very b d cold.
Oct. 19, 1932. 151.
C.6.H. goes to hosnit,
.1 to see.
Oct.20, 1332. 152.
George Jr.
Tells 0..H. he is working with the snread-the-work Ca=it
tee
of Business and Industrial Committee of Federal Reser
ve
District of Boston, giving his services, his actual
exnenses only being naid by the Committee.
Nov. 17, 1932. 169.
Hamlin, H. P. (Mrs. Charles 6.)
CSH. and, visit the Delanos at Newburg, N. Y., Bertie coriii
down from Albany.
July 2, 1932. 17.
We drove to Hyde Park and called on Mrs. James RoosE
-velt, the
mother of Gov. Roosevelt.
She had asked Bertiels old friend, Mrs. Archie Rogers,
to meet us.
Lt. Gov. 9nLi :!r.s. Lehman were also there.
July 3, 1932. 17, 12.
We called on

race Bigelow n.t Highland. Falls.
July 4, 1932. 18.

H.P.H. leaves for Mattapoisett
July 5, 1932. 18.
C.'5.H. sends H.P.H.Is sketch of Bishop Doane to Rachel
Hale.
Au. 5, 1932. 72.
Sends some tea to the Misses Connally.
16, 1932. 83.
Last week H.P.H. went to arally in New Bedford at
which
Sen. Walsh of Mass. spoke. When introduced Sen. Walsh
asked "a lady thou' we all resnect and admire - Liss.
Hamliril
to rise.
I.P.H. rose and Sen. Walsh gave her a wond, rful euloL
y for
her work in Woman's National Democratic Cluh and
in
Matta-2oisett.
He then asked everyone in the audience to rise
as a taken of
resnect to her. Nov. 7, 1932. 133.
Leaves Mattanoise - t for Albany by bus via
Providence, Palmer,
Lenox. Arrived Albany about 6:15
Nov. 22, 1932. 185.

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Federal Reserve Bank of St. Louis

112.

Hamlin, Joe
113. See - Jouett
Hamlin, Mrs. Nathan S.
See - Girardeau, Ja ,et.
Hard, William.
Said over radio last Tuesday that 35,000 people had written
the Literary Di,7est changing their vote fr= Roosevelt to
Hoover.
The Literary Digest said this was false, that not a single
change had been made; that the rumor started with a Wall
Street broker, and was traced back to a nrominent member
of the Rep. National Committee in Chicago.
Wile admits that his authority was thisReulican Canlittee
man and anoloAzes.
Oct. 28, 1932. 157.
Harriman, Mrs. Borden
Ellen Leonard who was at the National Democratic Convention told
C.S.H. that, worked hard for Newton D. Baker.
July 9, 1932. 29.
Harrison, Floyd..
Goes with 3.6.H. and Gov. Meyer to Federal Reserve Bank, Boston.
June 13, 1932. 1.
Told C.S.H. he had seen Gov. Harrison coming out of Ogden lills
office. He kept away from the Board.
June 20, 1932. 7.
Miller and C.S.H. agreed that by. Meyer dominated the Board by
Morrill and, so he could give his Whole time to the R.F.C.
July 6, 1932. 24.
Asks C.b.H. to write Glass expre - 2ing pleasure th-t Glass -as
willing to relieve Gov. Meyer from the R.7.C.
July 13, 1932. 37.
Tells ";.S.H. the R.F.C. has advanced 90 millions to the Secretary
of Agriculture for loans to individual farmers.
July 22, 1932. 47.
C.S.H. recompienth; Mrs. Baniste:-Is dau.--,hter to, for a place on
the R.7.0.
July 22, 1932. 48.

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Federal Reserve Bank of St. Louis

113.

Harrison, Floyd (Cont d.)
Says Gov. Meyer will stay over in Yew York working on the
pronosed corportion to loan on staple afrricultural products.
Aue;. 4, 1932. 71.
C.S.H. dines with Morrill and, at Cosmos Club.
Aug. 15, 1962. 84.
Tells C..H. of desire of Federal reserve Bank of New York to
send Burgess to the nreparatory rrieetiniz of the Economic
Cnference.
Sent. 28, 1932. 119.
Says Gov. Meyer will be in New York: most of this week.
Oct. 4, 1932. 122.
Says Gov. Meyer is in splendid shane but does not want to came
down for the DeCamp hearing tamorrow.
Oct. 25, 1932. 156.
Gov. Meyer suddenly left the nanhattan Co. hearing.
Floyd Harrison said he had -one for the week,-end.
very indignant.
Nov. 19, 1932. 175.

Miller was

reneated sugcestions to Wyatt as to his opinion as to
unification of banking, insisting that Gov.-Meyer's
statanents as far back as 1923 be quoted.
Nov. 22, 1932. 185.
Harrison, Gov. Federal Reserve Bank, New York.

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Federal Reserve Bank of St. Louis

114
Harrison

Gov.

Index

Acceptance rates. 4.
Amendment.
See - Federal reserve notes.
Bank of France. 25, 26, 27.
Branch banking..31.
Businem, and Industrial Committee. 19.
Case, Chairman. 5.
Collateral.
See - Federal reserve notes.
Concealment from Federal Reserve Board.
17, 19, 21.
Conferences. 17, 19, 21, 35.
Congress, Joint Committee of. 31, 32, 33.
Crisis of 1929. 6.
Daiger. 22
Discount rates. 2, 3, 4, 15.
Excess reserves. 24
Federal Advisory Council. 33.
Federal Reserve Agents Conference. 29, 31.
Federal Reserve Bark, Boston. 5
Federal Reserve Bank, Chicago. 5.
Federal Reserve Board responsibility and powers. 5.
See - Concealment.
Federal reserve direct loans. 8, 9, 10, 11.
Federal reserve notes. 24, 25.
Foreign investments. 29.
Free gold .24.
(page 114-A follows)

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Federal Reserve Bank of St. Louis

114-A

Glass bill. 31, 33.
Glass, Senator. 15, 24, 27.
Glass.Steagall bill. 29, 33.
Gold exports. 24.
Gold, Free. 24.
Gold standard. 22, 23, 24, 29, 30, 35.
Government bonds. 24.
Government securities. 5, 7, 24, 26, 29, 30.
Governors Conference. 7, 14, 24, 29, 30, 31.
Hamlin, C. S. 4, 5, 15, 23, 29.
Hoarding. 24, 29.
Hoover, President.
6, 11, 19, 22, 23, 27, 29, 30, 35.
Inter4iederal reserve bank rediscounts. 5.
Joint Committee.
See - Congress
Joint Conferences, Governors and F.R. Agents. 29, 31, 34.
Meyer, Gov. 5, 6, 12, 16, 18.
Miller. 35.
Mills. 1, 6, 11, 12, 18, 19, 22, 32, 33.
New York Journal of Commerce. 16
New York Times. 21.
Norman, Gov. 16, 17, 18, 20, 21, 28.
Open market.
See - Government securities
Open market policy. 26.
Participation.
See - Government securities.
(Page 114-B follows)

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Federal Reserve Bank of St. Louis

114-B

Politics. 3, 28, 29, 32, 33.
Power of Federal Reserve Board. 5.
Psychology. 5.
RepUblican plot. 32, 33.
Reserve rates.

Fi•

Reserves, Excess. 24.
Responsibility of Federal Reserve Board. 5.
Salary reduction. 13, 14, 34.
Speculation
See - Crisis of 1929.
Young, Gov. 5.
Young, Owen D. 11, 12.

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Federal Reserve Bank of St. Louis

13.5.

Harrison, Gov. Federal Reserve Bank, 7ew York.
1. Floyd Harrison said that today or yesterdaL' he saw, coming
out of Ogden Mills office.
He had never told the Board he as to be in Washington.
June 20, 1932. 7.
2. Board directs, to put in writing his reasons for wanting
to reduce discount nit es.
June 23, 1932. 9.
3.

C..H. believes James susnects that the reasons of the
Fed .ral Reserve Bank of New York for reducing
discount rates was really nolitical.
June 23, 1932. 9.

Tells Board his bank will reduce acceptance nurchase rates
when di3count rate is lowered.
June 23, 1932. 10.

C...H. attends me ting of Executive Committee of Federal
Reserve Bank of New York after lunching with.
Gov. Harrison said if N. Y. boht any more Government
securities without narticination of the other F.R.
banks, it would leave Boston and ChicarTo,with a 70,0
res:rve ratio as against 47,'0 for Ne- York.
He said Boston had taken over some of New York's holdings
but declined to participate in future purchases.
He said our holdings would fall off unless .lore were
boupht this week.
Gov. Case said this would be bad psychologically as the
nublic would think we had changed our policy.
Owen D. Young agreed with Case.
Gov. Harrison called un Gov. Meyer in Washington who thOught
we should buy same to prevent a falling off.
The directors felt that Boston and ahiclp, should be broucht
into line by Federal Reserve Borrd; that such responsibility
belonged to the Boord.
C.S.H. a,?:reed stating that thcae opE-rations were essentially
like central bank operations, altho the Bord's now,-r
rested on voluntary agreenent between tile F.R. banks.

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Federal Reserve Bank of St. Louis

116.,

Harrison, Gov. F. R. Bank, N. York (Contld.)
5. (Contld.)
Gov. Harrison said that altho the Board had no direct
power to force Federal reserve banks to participate, yet
if New York's ratio became reduced by sudh bin;, the
Board could order any Federal re-rve bank to rediscount
for it.
Finally GOV. Harrison said he would try again to induce
Boston and Chicago to participate voluntarily.
July 5, 1932. 18, 19, 20.
6. Miller said Hoover seamed to place great reliance on Gov. Harrison,
and that Hoover a,,Rsd him whether lo.. Harrison was not an
abler man than Gov. Meyer.
Miller said he told Hoover that Gov. Meyer was qv abler; that
Gov. Harrison had failed in trying to control bank speculative
loans in 1929.
July 6, 1932. 24, 25.
7. Gov. Harrison addresses Governors Conference pointing out the
good effect of onen market operations.
Jul,- 14, 1932. 41 (1)
See — Governors Conference.
8. Tells C.S.H. he thorou„thly favored the Federal reserve
,irect discount amendment; that he would even go farther
and omit the condition that the anplying bank must first
try to obtain the loan from his bank.
He seamed almost enthusiastic about the amendment.
July 14, 1932. 41 (2)
9. Gov. Harrison told Governors Conference that the Federal
restnve direct discount amendment would permit the P.R.
bank to give credit on its boo]s to the borrowers; that if
such a credit were given the requireuent of a fixed balance
would comnly with the provision as to security.
July 14, 1932. 41 (3)
10.

Gov. Harrison in response to C.S.H.Is quBEti.7)n said an
individual, under the P.R. direct discount amendment could
give his note directly nayable to the F.R. bank.
July 14, 1932. 41 (4)
See — F.R. direct discounts.

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Federal Reserve Bank of St. Louis

117..

Harrison, Gov. F.R. Bank, New York (Contld.)
11. Owen D. Young told C.S.H. he was at the Federal Reserve
Bank
of New York with Ogden Mills and Gov. Harrison, when
they first learned of the F.R. direct discount
pronosition, and that they were very much ao-]osed to
it.
He said Gov. Harrison said it was all ripjht on 7rinc
inle, but
that this was a most inon ,)ortune time to try to enact
it into law.
Owen Young said he told tAem he was deli„, htd with
it and
that it would enable the Federal reserve banks to
break the crelit embargo; that !1ills then telep
honed
Hoover that the aendrnent was all right and shoul
d be
enacted into law.
July 28, 1937. 60, 61.
12.

Gov.ideyor is having a conference with Gov. Harrison,
M±ll and
Owen D. Young but for what purpose no Board membe
r knows!
July 28, 1932. 63.

13. Gov. Harrison told Morrill that the P.R.
Bank of New York
might revise its salary reduction plan, as to the
furlough provision, Morrill thinks.
July 26, 1932. 63.
14.

Gov. Harrison told Miller that salary cuts
were consiaered
by Governors C nference, but that all of the
Governors
except himself oo:?osed salary cuts; that the
P.R. Bank
of New York held un its nr000sed plan until
it could
communicate with the other r-=overnors.
July 28, 1932. 65, 63.

15.

C.S.H. Liclined to five Daiper a cony of Gov.
Harrison's
letter of April 9, 1929, giving reasons for wanti
n to
increase the discount rate, but referred him
to Glass.
Aug. 24, 1932. 90.

16.

Gov. Meyer denies statement in N.
Y. Journal of Commerce
that Gov. Harrison was conferring with 7-40v.
Norman
at Bar Harbor,stating that Gov. Harrison was
at his
desk in the bank yesterday.
Aug. 24, 1932. 92.

17.

The napers are full of the allec;ed a)nfe
rence between Gov. Norman,
Mills and. Gov. Harrison at P.R. Bank, N.
Y.
Gov. Harrison has net mentioned it
to Board.
Aug. 31, 1932. 98.

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Federal Reserve Bank of St. Louis

118.

Harrison, Gov. Federal Reserve Bank, New York (Contld.)
18.

Gov. Meyer told Miller last Friday th,tt Gov. Harrison
had invited him to dinner to meet Gov. Norman.
•
He asked Miller whether to accept and Miller said
No. Later Gov. Meyer telen:.oned he would not go.
Sept. 1, 1932* 100.

19.

Miller remind O.S.H. that last May, t the Open :1,7,.excet
Conference, when consideration was being given to the
apnointment of Business and IndustrialCommittees, in
each Federal reserve district, 1-ov. Harrison was silent
althoueh at that very mo-ent he had directions from
Hoover at once to appoint such a CaTuaittee for the
P.R. District of N. Y.
(This meeting was on May 20, 1932, and Gov. Harrison
objected to any Washington Conference or to 81? 2
- ointment
of any F.R. District Com.ittee, until, at least Congress
should adjourn. 20 Diaries, p.
Sept. 7, 1932. 109.

20. At Borrd meeting, C.S.H. asked :orrill whether any word had
came from Gov. Harrison or F.R. Bank of New York as
to Gov. Norman's visit. Morrill said No.
See - James.
Sept. 15, 1932. 114.
21.

The N. Y. Times said same time ago that Go . Harrison
nresided at a Conference at P.R. Bank of Yew York
between Gov. Norman and N. Y. bankers.
Sent. 15, 1932. 114.
The next t.y, co. Harrison denied any conference with
bankers, but admitted that he had conferred with
Go-. Norman on financial matters, but that no
definite z:„Treement had been reached or intended to
be reached.
Gov. Harrison never c(n.unicated with the
this. (See scrap books, Vol. 231)
Se- t. 15, 1932. 114.

Bwrd as to

22. Daiger told C.S.H. that he had investigated and found that
Hoover's itatement as to danger of going off the
gold stam,ard was based on information Given him by
Mills and Gov. Harrison.
Oct. 14, 1932. 147.
See - Daiger.

•

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Federal Reserve Bank of St. Louis

119.

H-rrison, Gov. F.R. Bank of N. Y. (Contld.)
23.

Bank of N. Y.
0..H. looked up the week1:- reports of
for Feb. 1932 and the Review for Mar. 1, 1932 (the date
Hoover had in mind was Feb. 10, 1932) and found not a word
indicating the slightest danger to the :old. standard.
(See scrap books.)
Oct. 14, 1962. 147.
See- Gold :tandard.

24.

Gov. Harrison on Jan. 11, 1962, told the Governors Conference
that he had sw;gested an amendment to Glass as to Government
bonds as security for P.R. notes; that while excess
reserves were over 1 billion, the free gold was down to
frau 4 to 500 million.
He also spoke of gold exports and hoarding, and added that the
necessity of collaterallinp F.R. notes with gold in
absence of eligible paper, was becoming a menace to the
F.a. System.
He never even remotely intimated any ci.anger to the F:old
standard; -.hat he had in mind was the 2ossibaity of
having to curtail .mrchase of Government securites if
the amendment were not Dassed. (See 2- Diaries, D. 1.35)
Oct. 14, 1932. 146, 149.

25.

Gov. Harrison also must have had in mind that the nronosed
amendment would make it easier to nay off the des?osits
of the Bank of France.
On Dec. 2,1931, he had told the Board that he had. told the
Bank of France that any future increase in denosits
caused by running off of acceptances must be earnarked
or exnorted. (20 Diaries, D. 8)
Oct. 14, 1932. 149.

26.

z.,.H. is satisfied that Gov. Harrison wanted the amendment
to avoid change in open market nolicy and to make it
easier to nay off France's denosits.
Oct. 14, 1932. 150.

27.

Glass in letter Criticizing Hoover said the administration's
reason for wantine the amendment was to be able totell
Bank of Fr9nce to take its denosits and ,r7o to helll
Oct. I, 1932. 132.
See - Gold standard.

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Federal Reserve Bank of St. Louis

120.

Harrison, Gov. Federal Res-rve Bank, N. Y. (Contld.)
28.

C.S.H. suspects that lov. Harrison mayhNe had something
to do with Gov. Norman's address in London, tending
to show that the economic depression was world wide.
Oct. 21, 193::. 153.

29. At Joint Conference of Governors and Federal Reserve Agents,
Gov. Harrison outlined open marllet operations beginning
with the large nurdhases in Feb. 1932.
He told of the reduction of 2 billion of foreign investments,
loss of gold,hoardimc., etc.
He said things would have been much worse, but for the
Glass—Steagall emergency bill, which he praised.
Gov. Harrisonis gloomy --dcture of our troubles un to June,
1932, satiEfies::: C.S.H. that he was trying to bolster un
his alleged statement to Hoover as to going off of the
,Told standard.
Nov. 14, 1932. 166, 177.
30.

he date to which Hoover referrei was Feb. 10, 1932, yet in
February on Gov. Harrison's motion, the Governors
and Federal Reserve Board epnroved a new nolicy of
enlar;ed putchases of Government securities, authorizing
nurchase of 500 millions per month
Would this have been done if we were in uanger of going
off the gold standardl
Nov. 14, 1932. 167

31.

Gov. Harrison told the Joint Conference that he had looked
over but had not read the Federal Reserve CouJittee
renort on branch ba.king, but that it covered so admirably
the chief banking problem, that he felt tht eon(;ress
should aploint a joint Committee to consider all banking
problems.
C..H. believes ?Toy. Harrison wanted to shelve the
banking bill.

lass

0.6.H. asked Gov. Harrison if his recoLimenLation meant the
Shelvinf, of the Glass bill, but he gave a very equivocal
answer.
as:ed him if the rcorLih.endations of the branch ban,(ing
renort were inconsttent with the Glass bill, and again
he answered very equi ocally.
liov.1E, 1932. 170.

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Federal Reserve Bank of St. Louis

Harrison, Gov. Federal Reserve Bank, N. Y. (3ontid.)
32.

Ogden 1:ills later told the Board that he should in
his annual report recommend a joint committee to
consider all bankin legislation.
Evidently Gov. Harrison and Mills have joined together
to shelve the Glass bill, — a Renublican plot.
Nov. 18, 1932. 170, 171.

33.

The Fed-ral Advisory Council at its —eeting with the
Board was silent as to the Glass bill.
C.S.H. believes Gov. Harrison and Mills have brought
pressure uoon the Council to anit reference to Glass
bill, believin,7 that a joint committee of Con7ress
will be anointed, as desired by 7rov. Harrison nd
Mills.
Nov. 18, 1972. 174.

34.

35.

Gov. Harrison was one af the 6 members of the Joint
Conference of Governors and Fed:?ral Reserve A,clents
who voted against the recommendation against salary
reduction.
:Toy. 23, 193'. 190.
Miller told C.S.H. that Hoover told him that he had a
conference at White House on Feb. 9, 1932, the nic-ht
before the Conference of Feb. 10 at Which the Glass—
Steacall bill was agreed upon; that lIllis and
Gov. Harrison were present; that he (Hower) hr:d. a
memorandum of the conference, Which was his authority
for his statement in his Des Moines s)eech about the
cold standard; that he did not say ,
ho prepared the
memarandurill that Hoover was very bitter about the
whole incident.
Nov. 26, 1932. 193.

Harvard University
C.S.H. attends class dinner at Cambridge and delivers an
address.
June 22, 1932. 8.
Gives degree of L.L.D. to Ogden
C.b.H. feels this was not deserved.
To ,7ive this degree to a man fresh from the Republican National
Committee Where he helped nut through a decentive
prohibition plar4, is merely to reward a successful
politician.
The same reasoning al21.ies to Sec. Adams who as given the de(Tee
almost at once after his apnointment.

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Federal Reserve Bank of St. Louis

122.

Harvard University (Cont'd.)
These degress, and the failure to give dr.gress to Delano and
Charles Warren, stamn the University, in C.S.H.Is ()pin on,
as tie Harvard Renullican university, for which no Democrat
except under extraordinary circumstances can expect
preferment%
June 23, 1932. 12, 13.
Hay-Adams House
Mr. Sinrod, Manager, called un C.S.H. and said the price of
his suite for the coming year would be $215, a reduction
from $250 for last year ($225 for June after L.estaurant
closed.)
C.S.H. said $150 was his limit.
He asked C.S.H. to get him an appointment under the
C.S.H. intimated he might nay $175 per month.
Au. 31, 1932. 99, 100.
.;.S.H. told Sinrod he would not make UR his mind before Nov. 15;
that he would agree now to pay $175 and sign a lease for
7 months with ri ht to cancel on 1 month's notice.
He said the Manager would not agree to this but that he would
hold the o-otion for a 6 months lease at $200.
Nov. 4, 1932. La, 16.
Finally closed with Sinrod. C., .H. to take leae for 6 months
from Dec. 15 to June 15, 1933, at $200 per month, C.T.H.
to have free rent up to Dec. 15.
See - Sinrod letter.
Yov. 21, 1932. 183.
C.S.H. signs lease.
raid la. t year $250 for 6 months and $225
A great saving.
for June (after restaurant closed) - a total of $1725 for
7 months. If we get out by June 15 we will only pay
$1200 - a saving of $525.
Nov. 22, 1932. 187
Heard, Mr.
Dines with us.

Aug. 6, 1932. 73.

Helm, Edith
writes.

July 6, 1932. 26
Aug. 22, 1932. 89.

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Helm, Edith (0Jntld.)
Arrived Matta-.)oisett, October 11, 1932.
Left Mattanoisett October
C. .H. calls -)n.

4, 19,?.

Oct. 9, 1932. 15.

C.S.H. dines with. Nov. 4,

162.

C.S.H. calls on.

Nov. 18, 1932. 173.

C.S.H. dine:: with.

Thanksgiving.
Nov. 24, 1932. 190.

Hielland Palls
We call on Grace Bigelow at.
July 4, 1932. 18.
Home loan bank bill.
Sen • Borah introduced Glass amendment as to national bank
notes, as an zi.menament to.
July 22, 1932. 48.
"Honorable"
See - "Esquire"
Hoogstraten , William
O.S.H. listens to orchestral concert lead by, in New York, while
lunching with Miss Connolly.
July 22, 1932. 49.
Hoov,-r, President.

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Federal Reserve Bank of St. Louis

124.

Hoover
Index.,

Aceptance, Address. 34.
Adams, Sec. 82.
Ban)4 of America. 66.
Bank of England. 38.
Bank of France. 57, 81.
Bread and butter illustration. 65.
Bryce, Ex-Senator. 58.
Business and Industrial Committees.
25, 35, 37, 39, 41, 43, 46, 51, 52.
Calkins, Gov. 66.
Cleveland speech. 95.
Cleveland Business and Industrial Committee report. 25.
Comptroller of Currency. 24.
Concealment from Federal Reserve Board. 51.
Conferences. 35, 41, 43, 46, 49, 52, SD.
Continental Illinois Bank and Trust Co. 79.
Curtis, Vice President. 2
Daiger. 64.
Dean, H.G.P. 79.
Delano. 76
Des Moines speech. 55, 80.
See - Gold standard
Direct action, Federal Reserve Board. 50.
Direct loans, F.R. banks
See - Federal reserve direct loans
R.F.C.
(Page 124,A follows)

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Federal Reserve Bank of St. Louis

Discourtesy to Federal Reserve Board.
18, 37.
Dissenting vote, C.S.H. 8
Domination over Federal Reserve Board. 26, 68, 75.
Economy bill. 20.
Election, Presidential. 71, 72, 73.
"Mergence 25, 26, 30.
Mmergency relief and construction Act. 25.
Fairhaven vote. 73.
Federal Reserve Board.
8, 25, 26, 30, 43, 46, 48, 49, 66, 79.
See - Discourtesy
Domination
Federal reserve direct loans ameniment
7, 8, 12, 13, 14, 15, 16, 17, 19, 20, 23, 25, 27, 28, 29, 30.
Freeman, Bishop. 36.
Garner, Vice President. 14, 20.
Gianini. 66, 67.
Glass. 10, 15, 19, 29, 57, 63, 70.
Glass-Steagall bill. 75.
Gold standard.
51, 55, 56, 57, 59, 61, 62, 63, 64. 80.
Government bonds. 24.
Governors, Federal reserve bank. 18.
Harlin, C. S. 7, 8, 9, 17, 19,21, 22, 27, 29, 31, 40, 50, 66.
Harrison, Floyd. 24.
Harrison, Gov. 6, 28, 51, 64, 80.
Home Loan Bank bill. 24.
Houghton, A. B. 31, 32, 33, 40.
(Page 124-B follows)

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Federal Reserve Bank of St. Louis

124-B

Illegality
See- Usurpation
James. 41.
Johnson, Sen. Hiram. 67.
Letter to Board. Hoover.25.
Maguire, E. C.

79.

Marion vote. 73
Mattapoisett vote. 73.
Memorandum, Gold standard. 80
Myer, Gov.
1, 5, 6, 8, 9, 12, 13, 15, 16, 18, 19, 21, 22, 25, 26, 30, 39,
46, 47, 48, 52, 53, 59, 62, 63, 68, 74, 76.
Miller, Dr.
6, 8, 10, 12, 14, 16, 17, 30, 42, 44, 45, 46, 51, 53, 61, 66, 67,
68, 69, 70, 80, 81.
Mills, Sec.
5, 6, 8, 10, 11, 12, 14, 15, 16, 17, 27, 28, 30, 39, 42,
43, 45, 46, 51,53, 61, 64, 80, 82.
Morrill. 9, 11, 41.
Nagle, Ex-.Secretary. 40.
National bank notes. 24.
New York stock market. 55.
Politics. 41, 60, 76.
Prohibition plank. 3.
Reconstruction bill. 23.
Reconstruction Finance Corporation.
5,7, 9, 14, 20, 21, 22, 24.
Republican National Convention.36.
Reserve committee report. 82
Resolution. 41.
(Page 124-C follows)

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Federal Reserve Bank of St. Louis

124-0

Reynolds, James. 2.
Robinson, H.W. 11, 15, 54.
Roosevelt. 31, 69.
Roosevelt, T. 2.
Root, Zlihu. 77
Scott, James Brown. 77.
Secretary of Agriculture. 24.
Share the work plan, New York. 60.
Smead. 56.
Speculation, 1928. 49.
Speeches
See - Cleveland speech
Des Moines
Strother, French. 49
Usurpation of power. 26, 30.
Veto. 19, 24.
Vice Governor. 42, 45.
Votes. 8, 13, 19, 49, 73.
Walker-Gianini fight. 66.
Warren, Charles. 2
Washington Conference.
Business and Industrial Committees.
35, 41, 43, 46, 52.
Wilbur, Mrs. 77.
Wilson, President. 32.
Wyatt, Walter. 68, 74.
Young, Owen J. 4, 28, 29, 49.

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125.

Hoover, Presid nt (Contld.)
1.

Gov. Meyer spends week end at cairn of.
June 4, 1932. 1.

James Reynolds told Charles Warren the delegates
Republican National Convention did not want Curtis
nominated for Vice Pre tdent, but that to shut off
Hoover who really wanted T. Roosevelt, they reluctantly
took Curtis again.
June 16, 1932. 6.

Hoover forced the delete: to :%ccent a d, ceitful Dlank
on -)rohibition.
June 23, 1932. 12.

Owen D. Young told C.S.H. that the r)eo-)le had no confidence
in :-{oover, whether rightly or wrongly.
July 5, 1932. 21..

Miller said Hoover had rece',Lved many comnlaints of Governor
Lleyerts management of the R.F.C.
July 6, 1932. 22, 23.

Miller said Hoover seemed to have groat reliamce on Governor
Harrison and that Hoover asked him if Governor Harrison
was not abler than Gov. Meyer, to which lAller s id No.
July 6, 1932. 24, 25.

7. In exnlaining his connection with Federal reserve direct
discount amendment, C.S.H. said he agreed with Hoover
that the R.F.C4 should not be authorized to make di ect
loans t individuals.
July 12, 1932. 33,
8. The Board, C.S.H. dissenting, asked Gov. Meyer to call un
Hoover and protest against the pro)osed FederLd rerve
direct discount amendment.
Gov. Meyer did not seem to 'ant to cammnicate with Hoover
and persuaded Miller to do this.
July 12, 1932. 31,32 (3)
9. Morrill said k)v. Meyer had asked Hoover to release him from
the R.F.C.
C..H. believes Gov. Meyer knows Hoover wants a change.
July r, 1932. 32.

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Federal Reserve Bank of St. Louis

126.

Hoover, President (Contld.)
10. :Mier told C.S.H. he had talked with Hoover who seemed
verz tired and said, the Board should camunicete .
with Glass.
July 12, 1932. 33 (3)
See — Federal reserve direct discounts.
11.

12.

said he was at the White House all day :ondrq
and heard ::ills dictate a stateamt on the relief
bill for Hoover to sign. nills is certainly coonoreting
with 'oover.
July 12, 1932. 34.
1:iller said thkl.t when he talked over the telenhone with
Hoover, Hoover said he knew all a'oout the Federal
reserve direct discount mendment.
July 12, 1932. 34.

13. :aller said Gov. Meyer talked with him over the teleehone
for 1/2 hour asking him What he should advise Hoover
as to vetoing the amendment.
niller aavised hia to tell Hoover to sip it or at least
not tell him to veto it.
July 13, 1932. 35.
14. laller said the Federal reserve direct discount amendJment
furnished a bridge over which Garner and Hoover could
go• 2.1d. save their feces, — Hoover because he Ton as
to R.F.O. direct loans, and Garner because he yot
sa.lething equally as eood.
July 13, 1932. 35 (2)
15.

Glass told C.S.H. that Hoover pulled every wire to defeat
his amendment yesterday but that this a.m. Hoover had
a conference at the White House at which
Gov. ::eyer and the minority leader Senator Robinson,
were present, and it was quickly e.r7reed that the
amendment was sound and necessary.
Glass said that yesterday Hoover had a snasm of fear lest
the amendment milit become law, but Hoover is in a
spasm
fear it may not became law and this morning
Hoover sent :!ills• and Gov. Meyer to him to tell
him the administration would bend every nerve to
secure its nassage.
July 13, 1932.
35.

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Federal Reserve Bank of St. Louis

127.

Hoover, Presi.l.ent (Contld.)
16.

Gov. Meyer and Miller now feel ashamed at trying to induce
Hoover to veto the amendment although later they chaned
their mind, or at least Miller did.
July 13, 1932. 36.

17.

Miller told
the cunendl:lent.

more fully as to his nroteet to Hoover about

He said Hoover asked if any Board member had anything to do with
this amendment; that he replied affirmatively but vaguely
without giving C.S.H.Is name;that Hoover said he had a ri.tht
to know what member it was; that he —
still
demurred; that Hoover then asked if it was Mr.
, mentioning
a name other than ,IS.H.Is;tliat he never told him about 1.H.Is
connection with it.
Mill .r said when he first trAerthoned him, Hoover said he knew all
about the amendment.
July 14, 1.;32. 40.
18.

Gov. Meyer told the Governors that Hoover would be
meet them this evening.

ad to

Tho Board members were not invited1
The Governors thought the nubile might be disturbed to have them
meet with Hoover, and Gov. Meyer said he would tell Hoover
they felt they had beTter not acce-A.
July 14, 1932. 41 (2)
19.

Gov. Meyer attacked
at a meeting for writin; the anendment
for Glass without consulting the Board, yet he went at the
direction of Hoover to Glass and told him that Hoover and
we all agreed to the amendment.
This statement was directly contrary to the vote of the Board the
day before that he should protest to Hoover and ask him to
veto the amendment1
Gov. Meyer later explained that there was not time in -Lich to
consult the Board.
Nor was there time to consult the Board when C.S.H. drew his
amendments It mP.kes a great difference which manis
is
bein' goren
July 13 1932. 43.

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Federal Reserve Bank of St. Louis

12c?,.

Hoover, President (Contd..)
20.

staterAent of Hoover as to the
The papers yesterday hc
Economy relief bill. It sneaks of defetin, :.rne'
claim for R.F.C. loans direct to individuals, but does
not mention the Federal reserve dimct discount amendmentl
Hoover is certainly deceptive here.
July 1E, 19 2, 43.

21. Board took un the Federal reserve direct discount amendment.
Hiller said the charge was being made that Hoover and he
would see to it that no thin: would be done undcr the
amendment and he resente_ this warmly.
July 18, 1932. 44.
22.

0.6.H. believos ov. e;:er has been forced out of the R...'
by Hoover arinst his will.
July 19, 1932. 44.

23. Hoover signed the reconstruction bill, containing the
Federal reserve di2ect discount a:Aandment.
July 21, 1932. 46.
24.

Floyd Harrison revealed the absurdity of Hoovr2rts opnosition
to R.F.C. direct loans to indivi.alals by raminding
C.S.H. that tie R.F.J. advised 90 millions to Secretz.ry
of kriculture for uirt-ct loans to inLividual farmers.
July 22, 1932. 47.
Comotroller Pole asked Hoover to veto the House Loan bank
bill because of the amendment as to issue of national
bank notes agai .st aovernment bonds not now eligible.
July 22, 1932. 48.

25.

Gov. Meyer told Board he had sent the raport of the Cleveland
Finance Orr:anization Committee to Hoover,
Business
and he read Hoover's reply as follows:
The White Hous-, Washington.
July 23, 1932.
Hon. Eugene neyer,
Pederal Reserve Bor.rd,
Washington, D. C.
My dear Gov. Meyer:
I am in receint of your letter of July 2flnd
enclosing the results of a survey conducted by the
Banking and Industrial Con:littee of the 4th Federal

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Federal Reserve Bank of St. Louis

Hoover, President (Oontld.)
25. (Contld.)
Reserve District.
This statement is a camnlete indictment of the
banking situation because its conclusions ,re that
loans have been refused through the 2istrict and
others of the tyne subject to rediscount
)robably
by tne dederal Reserve System, -nd tre.t the result
, restrictions has been to increase uneml)loyment
of thes:
and to stifle business activity in the country.
The conviction I cet from this document is that
the Federal Reserve St-stem should at once instruct
the Fe-, ral re erve banks to undertake direct
rediscounts uns,-rauthority nrovi_ed in thr, relief
bill.
We can not stand by and see the American people,
suffering as they are today an.. to he extent that
may imneril the very stability of the Government,
because of the unwillingness of the banks to take
aavantage of the facilities orovided by the Government.
I deem it necessary to call the attention of the
Board to the fact that an energency of the character
denominated in Sec. 210 of the lamer7ency Relief and
Construction Att of 1932, has now arisen.
I should be glad if you would brinL this directly
to taeattention of the Board.
Yours faithfully,
Herbert Hoover.
'Lay 23, 1932. b2, 53, 57.
26.

Gov. Leyer read Hoover's letter in a low, mumblin tone, as
if he did not want th,, Board to realize its contents.
It was an extraordinary letter nractically orderin,7 the Board
to declare an emergency justifyin(cf F.R. direct discounts.
It was an astonishint2; exITAJle of illegality, the worst in
the history of the Fe. ral Reserve System.

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Federal Reserve Bank of St. Louis

130.

Hoover, Presi

nt (:iontid.)

26 (Contld.)
The Board through Gov.Mwer, replied in a courteous letter
pointine7 out that Hoover kent the bil_ 6 days after
July 16th when nassed Con7ress, but that the Board on
July 26th, five days after Hoover signed the bill,
nrepared its circular declaring the mergency and sent it •
to all Federal reerve banks, effective August 1, 1932.
July 26, 1932. 57, 58, 59.
27.

C.L.H. told 1/.il1s the history of the Glass amendment and of the
Board's protest to Hoover, the ori7inal on 1)sition af
Hoover and later of his accentance.
Mills said that Hoover, in thebeginning, il;A been ver:/ badly
advised, im2lying that he had set Hoover straight.
July 26, 1932. 56.
talk with ::ills and. Gov. Harrison
York, Mills telephoned Hoover
was all right and should be lassed.
28, 1932. 61.

28.

Owen D. Young said after his
in the F.R. Bank of New
that the Glass .aendment
July

29.

glass told C.s.H. that Hoover called him un in the morning
befo_e he was out of bed;that he e.::plained the amendment
to Hoover who accented it.
July 28, 1932. 64.

30.

t Hoov:.rls letter ordering the Board
Miller told 0.6.H.
to declare an emergency, - als the most offensive and
illegal assumtion of exeuutive eutnority in the history
of the Board.
He also said ov° Meyer read the letter to the Board in such
a mumbling tone that it was almost ilier-ible.
July 28, 1932. 65.

31.

Houjhton tells C.S.H. of the utter contemnt for Hoover.
He said he had been invited to the ratification ceremonies
next week but had cl.clined.
He said that while he had personal reasons for his dislike,
he was not influenced by them; that he was in touch with
many influential Republicans who were considering whether
it would be better to come out onenly against Hoover or
to remain quiet and reform the Party from within.

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Hoover, rrecident (ContId.)
31. (Contic..)
He said if he thought there was the slightest danger of
Hoover's election, he would openly repudiate him.
He raid many Renublicans Who desnised Hoover and had early
determine to vote against him, were drifting back because
of . ear that Roorevelt
nrove to be a dangerous
radical
Aug. 8, 1932. 7
32. Houghton said that once he snake to Hoover al)out President
Wilson and that Hoover had said that Wilson was one of the
greatest men in the world until he became insane and wanted
to rule the world, and wanted Hoover to heln him.
Auf7. 8, 1932. /.
1.
33.

Houghton said Hoover's election would not be a victory for the
Renublican Party, but the personal triumph of a selfish,
egotistical, dominating man, and he feared his election
might rrecinitate a revoluti n in the United Stater.
Aug. 8,1932. 75, 76.

34.

Q.S.H. listens over radio to Hoover's iccerntnce address, - very
long, over -an hour, and very dull,full of platitudes and
egotism.
Aug. 11, 193:. 79.

35.

Hoover invites
to attend conference of F.R. Business
and industrial organizations in Denartment of Commerce
Building. 0.S.H. accented.
Aug. 16, 1932. 83.

36. Bishop Freeman gave prayers at the Renublican National Convention
at Chicago which nominte::. Hoover and also t his
acceptance address-.
Aug. 16, 1932. 83.

37. Hoover gave a rece)tion in the White House to the delegat-s
at the Business and Industrial Conference in Washington.
None of our Board invitedi
Aug. 25, 1932. 94.
38.

Hoover et al addressed Hoove conference.
Hoover made an address, in which he spoke of the "failure of
the Bank of England."

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Federal Reserve Bank of St. Louis

132.

Hoov r, President (Contld.)
38 (Contld.) Several rushed Ire to the presidine officer and
he succeeded in 1-iving the speech chaneed before distribution
so that it read "the failure of Ensland", whatever that
mirjit mean..
Aug.
1932. 95, 97, 98.
39.

Gov. Meyer told C.z;.H. he had kent in the background as the
confrence ;as enf:ineered by Hoover, Mills, ana Owen D. Yom.
Aug. 24, 1932. 96, 97.

40. :;.b.H. Met Houghton at the conference 7iho wanted him to meet
Ex—Secretary Nale
was on the point of tirowinr: over
Hoover and votin for Roosevelt.
C...H. doubl,ed erenriety of this and made no ence:ament.
Aug. 24, 1932. 95, 96.
41.

orrjl1 and James renorted that the delegates Let the conference
were disgusted because they wanted to discus practical
nroblems but found they hut to listen to 6 or 7 prepared
addresses without any chance of discussion.
At the end a Hoover eulogistic resolution was introduced and
passed. It was a nurel:r politi-al conference.
Aug. 31, 1932. 97.

42.

Miller read a letter from Hoover containing a complaint from
a man whose mortgage had been called, and asking for an
investiEation.
Hoover said he sent the letter to Miller because Gov. Meyer
was away, and he did not lemow to wham to write.
Had Hoover apeointed a De-outy Governor as he sl.ould have done,
he would have known to Wham to write.
Aug. 31, 1932. 98, 99.

43.

44.

45.

Hoover and Mills took the Business and Industrial Conference
out of the hands of the Board and raineci it to all practical
purnoses.
31, 1932. 100.
said he was going to Hoover's camn for Sunday.
Sept. 1, 1932. 100.
C.e.H. told. Miller that Hoover should appoint a Vice Governor
but Miller thowfht it not necessary.
Sept. 1, 193; • 101.

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Hoover, rr, sidont (Contld.)
46.

Miller told C.S.H. he was satisfied that Hoovr was "out" with
Governor 1.1eyer; that when he exnlained to Hoover the
necessity for a Washinc,ton Conference of business men pnd
bankErs to consider a plan to alleviate credit conditions,
and said to him that the Board should nut this throu,41 -,
Hoover said that Gov. Meyer would be of no help; that he
knew him as well as did Mill1r;that it was useless to expect
help fran him; that he, Hoover, must put it tlirouch instead
of the Bord.
See infra - Pa-e 61.

Sent. 1, 1932. 101, 102,

47.

Miller said he believed Gov. Meyer had "oversold" himself to
Hoover; that in all probability Gov. Meyer had run down
the Board to Hoover and had made extravagant sttements
of vihat he could do if anT)ointed and mad -. Governor; that
conditions, however, had grown steadily worse and that Hoover
ILd lost faith in Gov. Meyer.
Sent. 1, 1932. 102.

48.

0.0.H. feels the fact
:r07.
.1e7er feels he has not mails
K
zood with Hoover has turned Gov. Meyer towards the Board.
Sent. 1, 1932. 103.

49. French Strother, Hoover's secretary, called on Board for all
statements made by it as to speculative conditions in 1928
and 1929.
C.S.H. moved to send him a statement c;iven out by Gov. Young at
the White House Conference between Hoover and the Federal
Advisory Council, on November 20, 1929.
Board voted :o.
O.S.H. feels Hoover wants to prove he did not encourage the
speculative boom in 1929.
Sept. 1, 1932. 106, 107.
50.

C.S.H. feels Hoover was in accord with the Board's direct
nressure policy in 1929.
(See Hoover's tal: with Gov. nun: in earlier diaries)
Sept. 1, 1932. 107.

51.

il1er ointed out last week that Gov. Harrison kent silent at
open ma=et meeting of May 20, 192, wLen matter of anoointin
Feier,-..1 reserve district camaittee came iv, rlthouch t the
time he had Hoover's instructions to form one in
Y.
immediat,ely.

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Federal Reserve Bank of St. Louis

134.

Hoov-r, President (Contld.)
51. (Contld.)
C.S.H. ecords show that at that meetin,; Gov. Harrison
o'-jected to forming such a CommAt tee, until, at
least, Con7ress adjournet.
20 Diaries, n. 144.
Sent. 7, 193. 109.
52. niller said that in relation to No.
"Meyer won't and can't do it.
What can the Board do when it
Sent.

46 above, Hoover said
I must do it.
has no leadert"
13, 1932. 111

53. Miller said it was only a ouestion of time before Hoover and
Gov. ileyer would fall out; that he knew of the
falling out some time
Sent. 13, 1932. 112.
54.

Henry W. Roinson told
that his nuotation of liesoDIs
fable , the Belly, was advisable and tlEt he -ould
ive it to Hoover.
Oct. 5, 1932. 126.

55.

The stock market had a bad break following Hoover's Des
Moines, Iowa, s--)eech as to roing off of gold standard,
Oct. 5, 1933. 133.

56.

Smead told 0..H. that Hoov-rls reference to goinc; off the
standard was absolutely erroneous.
Oct. 5. 197,2. 127.
See — Gold standard.

E7.

Glass, in New York Times, makes a terrific attack on Hoov .r
for stataaent that were it not for the Glass
emergency bill we would have gone off o1d stand'Ard
within two weeks.
Says the reason given for the amendment was not any dan-er
to gold standard, but merely to he1..9 notification to
Bank of France to talce its deosits and go to Hell
Oct.9, 1932. 134.

58.

C.S.H. sends Catherine Grant a co y of Ex.-Senator Bruce's
attack on Hoover.
See scran book.
-

Oat. 10, 1932. 2.5.

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135.

Hoover, Presid ,nt (Contld.)
59.

C.6.H. believes lov.Meyer hone:cto
t. bolster 1.1, Hoover's cfrold
standard statement through the F.11. Bulletin for October 15,
193 - a nolitical device.
11, 193.
136, 137, 138, 143.
6ee -

Bulletin
Gold standard

60.

believes the share-the-work nlan of Federal Rererve
Bank of :Jew York is merely a nolitical device to heln Hoover.
Oct. 11, 1932. 139.

61.

said Hoov r's reference to the 7old standard had killed
him with all bankers in the East, .nd that some formerly
lar e contributors h
d clinea to contribute because of it;
that it was one of the most r:rievous mist-tkes ever made
by a Presid ntia1 candidate.
Oct. 11, 1932. 143.

62.

..H. is inclined to belitve that ov. Meyer was ordered by
Hoover to nut something into the Fedora). Reserve Bulletin
to 'sack u) his pold standard sta,ement and tried to do so,
but, t.[Irough anger with Hoo,:?r, was clad the attearet failed.
Oct. 11, 1932. 144.

63.

Glass, in Yew York Times, again attacks Hoover's 7(:)ld standard
statement quotin Gov.:leyer.
Oct. 13, 1932. 144.

64. Daiger told C.b.H. he had verified the date referred to by
Hoover in his statoment as to the gold standard, and said
it was Feb. 10, 1932, when tae Glass emergency bill was
a,7reed to, and that Hoover made the statement dn information
-:iven him by Afitet. and Gov. Harrison.
act. 14, 1932. 147.
ithat4
65.

Hoover in Cleveland sneech 7ave fiF,ures Shoring 'mount of
bread and butter peo-.11e in U.S. .1ste buyin viith their
wages - 3 to 5 times more than a foreign can bu y with
his wages.
The corollary would seem to be that a fanner to buy a dollar
must offer from 3 to 5 times more wheat than 7:cc:ad his
oreign domnetitor have to nay to buy his currency unit.
Oct. 17, 1932. 151.

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Federal Reserve Bank of St. Louis

136.

Hoover, ?resident (Contld.)
66. =ler said Hoover called him un and. :c.ked that the Board
send him the corresoonaence between it and Go,. Calkins
relating to the Gianini-Walker fi-,ht for nroxies in the
Bank of American stockholders theetaLa.
Board expressed some doubt but
said giving the corresnondeoe
to lloover was not :Jublishini; it, - but that resoonsibility
rested on Hoover, and the Board sent it.
Oct. 25, 1932. lab, 156.
67. Li1ler said he heard that Gianini and Sen. Hiram Johnson were
going to attack Hoover on above matter.
Oct. 27, 1932. 157
68.

Wyatt has heard a rumor that Gov. rey -r will resign if
Gov. RoosevAt is elected.
C.S.H. believes he should as he has acted as if he were one of
Hoover's Cabinet and, with Hoover, has shelved the Board.
Oct. 29, 1932. 158.

69. Rachel Hale told C.S.H. that Ellen Warder told her thPt Lary riller
said to her that Dr. riller haa told Hoover she should vote
for Roosevelt.
Oct. 30, 1932. 159.
70. Sen. Glass attacks Hoover over the radio. It was the most virile
attack since the imneachment of Warren Hastins.
Nov. 1, 1932. 160.
71. riller s. id Henry '7. Robinson had just told him he was certain
of Hoover's elPction; that by his addresses he had disclosed
a new Hoover, - a knight in shining armor; that the country
was normally Re- aiblic-n by a 1ar7e majority excejt in grave
crises which -:ere not in evidence nowl
If Re-)ublican leaders have intomate:1 to Hoover that he may be
elected, they are deliberately deceivinghim, and his
disap2ointment at defeat will be all the keener.
Nov. 4, 1932. 162.
72. By 10:30 n.m. it was evident that Hoover had been disastrously
defeated.
Nov. 8, 1932. 164.
73.

Hoover carried ::•attanoisett by 469 to 196.
1928 - an astoundin7 Jemocratic -ain.
Hoover carried Marion 13:, 496 to 1,.39.
Hoover carried Fairhaven

1942 to 1448.

Al S1-ith -ot 131 in

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Federal Reserve Bank of St. Louis

137.

Hoover, President (Contld.)
73. (Contld.)
Both of

bove showed a very rmaible Democratic increase.
Nov. 9, 1932. 164, 165.

74.

Wyatt ouoted some one as saying that Gov. Meyer told him
he would not resi4n at least while Hoover held office.
Nov. 10, 1932. 168.

75.

C.S.H. told Delano that Gov. Meyer from the first acted as if
he were in Hoover's cabinet, utterly ignoring the Board
in most important leislation, e.,7. the Glass-Steagall bill,
R.F.C. etc. etc.
Nov. 19, 1932. 179

76. Delano told C.S.H. that Clov. Meyer said to him in the Metro ,olitan
Club, speaking of Platt's resignation, "We have taken
care of Platt", showin:; that the whole thing was arranged
by Hoover and Gov. Meyer.
Nov. 19, 1932. 180.
77. James Brown Scott told j.S.H. and Delano at lunch at Delanos
that aihu Root since the electiJn told him that Hoover
was absolutely unfit for the Presidency; that he had no
caaprehension o Government checks ana bal.nces; that
he coilla not caaoramise; that he absolutely 1,Ld.ked all
qualifications for leadcrshio.
Nov. 20, 1932. 182.
78.

.11-s. Delano told 0..H. that irs. Wilbur, wife of Sec.Wilbur
told her that Hoover was sulraaent confident of his
election; that on election nit he was absolutely stunned
and almost in a collapse.
Nov. 20, 1932. 182.

79.

C. C. Maguire writes
that to his knowledge, Hoover nulte
a while ago offered a nosition on the Federal Resrve
Board to Mr. H. G. P. Dean, senior Vice President of the
Continental Illinois Bank & TrAst Co., but that he
declinea.
Nov. 21, 1932. 163.

80. :liner said he had had a 1on7 talk with Hoover who told him that
on February 9 the evening before the Tlite Hous- Conference
of Feb. 10, 1932, at which the Glass-Steagall bill was
agreed upon, he had a conference at which I:ills nd lov.
Harrison were nresPnt,ahd that he had a memorandum of
the conference which was his juntification for his Des
Moines s-oeech statement as to the danger of ping off of

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Federal Reserve Bank of St. Louis

138

Hoover, President (ContId.)
DD. (ContId.)
the Eold stanaard; that he dL,. not vday whet er he •
"oersonally preared. the memorandum or whether it was
J.ven to him; that he was c:uite bitter.
Nov. 26, 1932. 193.
81. Miller said Hoover asked him if .1).n.kinfr reform was not now the
great issue, and that he replied “Yes".
Nov. 36, 1932. 193

8:. niller said Hoover had a co-;y of the Reserve Canmttee
br.ndh bank report, nresumably iven him by Os:den :ans.
Nov. :6, 1932. 193.
63.

Helen Ernst said she had heard that Sec. Adams disagreed
with Hoover's naval policy and was about to resiEn but
that the AdmirA,snersuzided him not to do so.
Nov. 26, 1932. 194.
6ee - ?resident of U.S.

Hop?in, Nina
Mrs. neyer told 0.6.H. that, called on her at her house in
Westchester, and that she h%cl. a 7ood talk with her and liked
her.
July 5, 1932. 25.
Houghton, Ambassador
nr. and nrs. Houc.;hton dine with us.
July 31, 1932. 68.
We dine with.

Aug. 8, 1S

Told C.S.H. of his utter contemnt for Hoover. He said he had
been invited to the accentance ceremonies next but had
declined.
He said he haa personal reasons for his dislike but that these
did not influence
He said the Re--ublican Party had deEenerated and needed defeat;
that he was in close touch with many influential Rel?ublicans
who were consiCering whether if, would be better to came out
onenly against Hoover or to remain -uiet and try to refortz,
the ?arty frmu within.

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139.

Houghton, Ambassador (Oontld.)
He said that if he thou I- lt there was the faintest chance of
Hoover's elction, he would come out ol)enly agp.inst him and
repudiate him.
He said that a 7ood many influential Relublionms who haa fully
slowly drifting back
determined to vote for Roosevelt
fearillz2 that Roosevelt might turn out to be an extreme radical,
and that Roosevelt or some friend, should give some ssurance
that he is not an extreme radical, - not necessarily a nubile
assurance.
said Owen D. Young would be a. good man to do this.
Aug. 8, 1932. 75.
Hou.-rhton said he once snok:e of President Wilson to Hoover, who re-lied
that Wilson was one of the greatest men in the world until he
became practically insane and tried to dominate the world tnd
wanted Hoover to heln him in this attemnt.
Aug. 8, 1932. 175.
Houton sA.d HooverlF.: election would be no victoyy for the
lienublian Party, but rather a -2ersonal triumnh of a selfish
eeotistical, dominating, men, which he feLred might ultimately
.precinitate revolution in the U.S.
Aug. 8, 1932. 75, 76.
0.5.H. met Howhton at the Washineton Confer-mce of Business and
Industrial Committee.
He said he wanted to bring C.6.H. over to see Ex-Secretar) Eaple
at Urin, L:ass; that Nagel was on the -oint ofcaming out
for Roosevelt.
O.S.H. gave an evasice answer as he di., not think it would. be nroner
for him to do this.
Aug. 24, 1932. 9D, 9.
C.6.H. lunches with, to meet Canon ;Ind l!rs. Carnegie.
Oct. 15, 1932. 150.
House, Col.
Bob Woolley told C.S.H. he tv;" met,in New York a week ago; th...t
House said that Gov. Roosev it visited him at Beverly Farms
and a,7reed on a plan of cazr-)a.ign under Ahich tile State
Committees would be given full consideration; that, a few
days later, Roosevelt announced a radically different plan
le:Ninp the State Committees practically isolated.

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140.

001. (Cont'd.)
Woolley showed 3.S.H. Col. Hous, Is letter exnressinc his deep
disa:1 'ointment.
July 24, 1932. 60.
House of Represente.tives
Passed einergency relief bill eithout the glass Federal reserve
direct discount amendment.
Bill now goes to conference.
Glass is a membr of the conference calevAttee.
July 1,193: 39.
Houston, Ilx-Secretery
Crane told 0.6.H. that, had been bitter towards Roosevelt; that he
thoueht Houston was a very cdsannointed man; that he had great
abilities but was very set in his ways.
He said he paid out $30,00e) in the effort to nominate Houston in 192e4.
July 6, 1932. 21, 22.
Ur. Crane expressed keep regret at Houston's o -

sition to Roos-velt.

He said Houston was uisgruntled because the Democratic Party had not
made any use of his bilities; that his effort to nominate
him in 1924 had cost him $30,000.
July 6, 1932. 26.
rs. Frances Crane ceeee over to tea; she cave out an intimation
that Houston, after all, might vote for Roosevelt and asked
if there as not a chance that he might be chosen for a
Cabinet position.
0.S.H• eeid ne knew nothin,7 about this, but that he would say
n ,rsonally ellat he had heard that Hoaston had said bitter
things bout Roosevelt, also that it was better lot to
swan horses crossing a stream, etc. etc.; that her father had
told him of Houston's bitterness; that such conditions meld
scarcely be considered a eualification for a Cabinet nositien.
Mrs. Crane is very intimate with the Houstons and 0.6.H. feels that
Houston seein that Roosevelt is reasonably sure of election,
is getting ready to junp mto the band wagon, but cannily would
like a reward for so Loin'-7.
Oct. 23, 1932. 154, 155.

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141

Houston,

7
.
.-Secret-r:; (Cont1 C..)

Delano told 0..H. that he had heard that Houston, befo .e going
abroad, had severely criticised Gov. Roosevelt, saying among
other things, that it was unwise to swan horses while ciossing
a stream; that he wrote Houston askin:: whether there st: :ements
were true; that Houston replied that no one had a riht to
question him as to how he should vote; that he had not nositively
made u) his mind; that after general critic ism of the Party
and its 7)olicies he s id that nossibly he might finally swing
into line; he never praised or said an encouraging word as to
Gov. Roosevelt in the letter.
Nov. ;2,0, l9. 181.
Howry, Hrs.
(;.6.H. dined with, to meet Jane Girardeau, who turned out to be his
3rd cousin, one degree removei.
See — Girardeau
Hamlin, ::rs. Nolton
Nov.
Hyde Par. 17.
See — Roosevelt, Mrs. James.

1932. 190.

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Federal Reserve Bank of St. Louis

Insolvent banks.
See - Failed banks.
Insurance, natta-noisett
Wrote Ashley asking for a permit to ht.ve our cows boarded'out
this winter,
Nbv. 10, l932. 1,35.

See - Contineatal Bark & Trust Co.
Youn7, Owen D.
Inter-Fecl.eral reserve bank discounts. :AO.
See - Harrison, :'rov.
Iowa Trust & Savin,7s Bank. 66, 39, 42.
See - Connolly,

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143.

James, George R.
Insists an Federal Res ,rve Bank, Yew York, 7,uttin in writing
its reasons for wishin to reduce discount rates.
He said the other 2edera1 reserve banks needed a lo-:er rate more
than did New York and would undoubteay follow the lead of
New York.
3.b.H. feels that James believes that nolitics are beneath this
action of Federal Resrve Bank, New York.
June 23, 1932. 9.
Bitterly on.)ose:- t the Federal resc:rve direct discount
Voted that it was unwise to nass it at nresent time.
July 12, 1932. 33 (2).
Voted to reouest Hoovt_,r to veto the Glass amendment.
July 12, 1932. 33 (2)
Insisted that his protest against Glass ,Jiendment be nut upon
Record, — a protest not against the merits (f,ltho yesterday
he violently ()noosed the merits) but against the manner in
which it had been introduced without notide to the Board.
July 13, 1932 35 (2)
Insisted again as above ;11.d intimated thrt he wOuld not join to make
fivelTirmative votes.
July 13, 193. 37.
Told

that narion Sanger hact just had a baby nrematurely born,
a 7 mOnths child, which lived only a few minutes.
July 27, 193. 60.

Votes against nronosed salary reluction by Pe.. ral Reserve Bank,
July 29, 1932. 37.
New York.
Savagely attacks Fedcral reerve direct discount [1-lenciment at a
hearing at which Gov. Norris was nresent on another rritter.
Aug. 4, 1932. 71.
02Dosed a s--)ecial discount rate on trade accentances.
Au. 19, 1932. 86.
Says the Business and Industrial Committee delegates to the Was:Lington
Conference were very indignant as they expected to discuss
nractical problems, but were mercky forced to listen to 5 or 6

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Federal Reserve Bank of St. Louis

144.

James, George R. (Contid.)
nrenared

adresses followed by a resolutin nraising Hoover.
A. 31, l9Z. 97

James said he ased Cr'ov. Meyer as to Gov. Normn's visit to Federal
Reserve Bank, ..ew York, and that he said he knew nothing
Sent. 15, 1932. 114.
about it.
Objects to the new Oity Hatianal Bank of Chicago - the successor
to the Dawes Bank - taking over the old trusts without
exuainz._tion of the Trust Departnent.
Oct. 5, 1932. 3.5.
Voted against granting trust powers to Continental Illinois Ban
& Trust Co., and the matter had to r7o over.
Oct. 6, 1932. 129.
After the vote 7ivin7 trust powers to Continental Illinois Bank
8: Trust Co., dames snoke of a rumor that it had unloaded
Insull securities on the Trst De-oartment, the Board wished
to dhange its vote, whidh had not in fact been formally cast
(the aecutive Committees vote only having been taken).
James insisteu that narliamentary practice must be followed and
that the ifote must be reconsidered.
0.0.H. said he now chLswed his affirnr,tive vote cast as a member
of the 4xecutive Coniittee an- voted Yo in view of James
state_ents as to Insull s-curities, and then moved a oostponammt for 10 aays, with a request to tie Camntroller to
make at least a oreliminary ex=ination, after which the Bo_rd
could determine its action.
It was sgested that all exce-pt C.S.H.Is motion be stricken from
the Record, but leaving in James statement that he would
veto in neL:L.,tive because of lack of exLizaination.
motion ':;ould leave in the record James
James --,aw tat
securities which he wanted kept out of
Insull
to
as
charges
agreed that the record should
accordingly
and
the record,
this was unariii.lowly 1)assed.
and
motion,
s
show only C..11.1
Oct. 6, 1932. 161, 162.
0.0.H. and James called on 1:arion Sanger atEmergency
Oct. 7, 1932. 1:34.

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145

James, George R. (3on.16.)
Officers of the Continental Illinois Bank 8: Trust Comnany ex7lined
to 3oard trit there was no truth in James' rumor as to
substitution of Lazuli. securities.
Oct. 11, 1932. 140.
C.S.H. calls at James arartnent to see 1:arion Sanger.
Oct. 16, 1932. 150.
At Governor Conference, Jrnes 7ave fip.ures showing that, canarin7
1931 with 1926 (as 100) it showed 11% increase for offices
but none for em9loyees.
171
Nov. 18, 19
In discussing he ::anhattan Comnany annlication, James ured
Warburg to become a non-clearing member.
He also said ne would trust the agreement to 'comply with anyting
:ailed for by the final examim.tion, but he ':as unwilling
to vote to admit the cannany until it disoosed of its
stock ho1din7s in other banks.
Nov. 16, 1932. 176.
Board voted to admit the Manhattan Oomoany on usual conditions
and on condition that it should ,lisnose of is holdincs
of stock in 3 other banks within 6 months.
James voted No.

Nov. 21, 1932. 164.

Severely criticis,ed the branch bank rer,ort claiming it -2raised
branch banks but failed to show that branch banks have 1-it
been nrofitable - not even in a single case.
Nov. 22, 1932. 186.
Az7;reed. with C.S.H. that it was wrong to nut entire cost of sharethe-work nlans on te aanloyees, when the Feder,1 reserve
bank was makinE its divid,2nds and ,*J2A.n.7 to its surolus.
Nov. 23, 1932. 188.
Voted to leave matter of share-the-work nlans to the indiviaual
Fedral res..?rve banIts, the Board internosing no objection.
Nov. 23,1932. 169, 190.
Jewett, Martha
Called on C.S.H. Said she was a relative of his t:rou41 Joe
Hamlin of Boston, that she was an intimate friend of
Dr. and Mrs. Auj,ustus Thorndike; that she was on an auto
writed $7 which she said
was short of money
trin
she would renay within a few-days. She 7v.ve her residence

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146.

Jewett, ::artha (Oontld.)
fl _rlboro Street

Bo9ton.
Set. 15, 1932. 113.

(Later ;.-;.H. fauna there was no 42 ::rlboro Stroot; that
Dr. & Mrs. Thorndike never heard of her.)
Johnson, Sen. Hiram
id he had heard that Gianini and, were to attack:Hoover
,
s
in connection - ith the Board's interference with the Transamerica
)roxy fight.
Oct. 27, 1932. 157.
Joint Caanittee of Con:ress
Gov. Harrison at Joint Conference of Governors and Federal
rescrve agents favored the annointment of a, to considr'r all
banking questions.
Yov. is, 1932. 170.
told Board he should in his Annual Report recommend as above.
Nov. 22, 1937. 185.
C.S.H. believes this is a device to shelve the Glass banking bill.
1:0v. 22, 1932. 185, 186.
1:iller believes Hoover will reconleni a, in annual messa7e.
Nov. 26, 1932. 193.

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147.

Kebler, Mrs. Catherine
Writes C.S.H. that Emma Atwood (Abbott) died on July 27, 1932.
Oct. 4, 1932. 123
Kelley, Beauford
Visits us

nattanoisett.
Sent. 7, 1932. 109.

Kenworthy
Daiger answ- :.s :harge of, that in 1926 olitics i fluenced
Fedral Reserve System.
Se-A. 27 1932. 119.
In May, 1932, Current History, charges that Feleral Reserve System
did not nrom?tly meet the s- eculative craze in 1928 because
of nolitical influence.
July 1, 1932. 16, 17.
Re-vats chare in "19th Century" for June 192.
July 1, 1932. 17.
See — Scran books.

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148.

L.L•De
lie.rvard gives

-ree of, to Judge Seabury and Ogden

The degree to Seabur;r 'as well deserved; that to Ellis was pure
politics. :Ails came fresh from Henublican National Convention,
where he nut tarowjh by Hoover's dieection a aeceitfUl
nrchibition plank.
Delano and Charles Warren should have had the de2ree but did not.
Harvard is dominated by Renublicaa politics and will elve degrees
to Democrats only under extraordinary circunetnces, and
eenerally even taen to compensate for some doubtful Renublicans.
Last year it save a apolitical" degree to Adams, Secfetary of Navy.
It should be called the Harvard Rei,ublican University.
Jure 23, 1932.
Yale, however, gave L.L.D. to Goy. Lleyer ana C.S.H. believes
this was deserved beceuse of his work an the R.7.0.
June 23, 193:'- . 13.
Lane, Ers. Fran41in
Ers. Newlands eedd Dr. Eiller had raised a fund of1300,000 for;
that among others Er. el Mrs. William Phillipn subscribed to it.
Oct. 18, 1937'. 151.
See - Hale, Rachel.
La7al, Er. 140.
See - Continental Illinois Bank & Trust Co.
Lawrence, Bishon
Richardson, of lass. Renublican Committee, nublishes a lette - for,
quoting from a letter received from a friend (0.S.H. believ-s
his son-in-law) in Oregon, stating th:t Roosevelt'end sooken
in Oregon, and that he did not know a sinle person who as
eoin
- . to vote for him.
C.S.H. fears Bishon Lawrence believes th4 the Episconal church is a
Republican organizationl
Boston Transcri-t.
Oct. 6, 193. 135, 136.
(Harriet Hamlin wrote to, a severe letter to which he relied
very eeuivocally. See scree) boolm).
Leave, Annual
bee - Annual leave
Haelin, C.S.
1.:eyer, Gov.

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149.

Lehr.:an, Lt. Gov. N. Y.
We meet,Pt tea with Mrs. James Roosevelt.
July 3, 1932. 17, 18.
election to , hich he courteously
C.S.H. 1)n.,eratulr.tes, on
Yov. 9, 1932. 164.
relied.
Leonard, Ellen (Warder)
Tol
I.HI flat -rs. Borden Harriman worked for Bker at the
Democratic Nati nal Convention at Which she (2.L.) was a
dele7ate.
July 9, 1932. 29.
Rachel Hale told C..H. that Ellen Leonard told her that Mary niller
told 117,r that Jr. 1i1ler told Hoover he shouLt vote for
Oct. 3D, 1932. 159.
Roosevelt.
Lichtenstein, W. Federal Advisory Council.
.S.H. declines to give DaiE:er a co y of L's criticism of Federal
Rescrve Board.
Dai7er said he wrote L. for a cony but his Secretary renlied
that none were available for distribution.
Daiger said he finally got a cony from other sources.
explained to Board that Daiger said he was answering
the charges or Kenworthy and L. as to nolitics in Federal
Reserve System in l928.
1932. 91.
*Luc.
Daiger has an article in Current History for October, 1932,
answering above charges.
Sent. 27, 1932. 119.
Lightnin-, natta-oisett
Our house struck by.

Au47. 12, 1932. 80.

See - ::attneoisett.
literary Dice7)t
Says statement of William Hard over radio, October 25, 1132,
that 35,000 letters had been received dhann.ing their vote
on the noll from Roosevelt to Hoover was false, and
that not one had been received.
It traced the st.ttement tc a New York stock broker and. thence to
a Chicago member of Republican NatimPa Committee.

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150.

Literry Digest (Contid.)
Hard admits it vas false and justifies his statement for v'hat
the Chiczt-o meMber of the 2.enublican National Committee told him.
,. 157.
Oct. 28, 19a)
Loans to farmers, Direct
Floyd Harrison told C.S.H. that the R.F.C. had a.:_vanced 90 millions
to Secretary of Agriculture for.
July 22, 1932. 47.
Lodge, John
Gov. keyer tried to get Delano out of Smithsonian Institution because
of his cr) ;
- osition to.
Nov. 25, 1932. 192.
Lodge, Irs. Constance (Williams)
See - Williams, Constance
Lonsdale, 1/.. St. Louis
Introduces a rsolution -)raising Hoover at WaShin7ton Conference
LA Business and Industrial Committee.
Pure .-2olitics.
Auc. 31, 1932. 97.
Lorden, Gov.
Delano favors, for Secretary of 41.(7riculture, if Rooevelt puts
a Reoublicon in his Cabinet. Says he favored ::cN-ry-Haugen bill.
Nov. 19, 1932. 178.
Lunches (See dinners, supners, teas)
C.S.H. has Conr7,CLs at lunch.
July 24, 193?.50.
C.S.H. lunches with :Ir.

nrs. Hauzhton to meet Canon and 2:rs.
Oct. 15, 1932. 150.

nrs. Magee, aovernor and
We 7ive lunch at Mattanoisett to
lass Austin.
Mrs. YolIng, Mrd and Mrs. Curtiss, and Chairuirm
Oct. 2, 1972. 154.
0..H. lunches with Mrs. Newlands at hcr country house.
Oct. 29,
We lunch with Harriet Hardin.
Nov. 6, 1932. 163.
C..H. lun:hes with Mr. ez Mrs. Delano.
Nov. 20, 1932. 181.

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151.

Lunches, etc. (Contld.)
C.S.H. has Janet Girardeau and the Conrads t lunch :t
cosmos Club, ThanIcsgivinc Day.
Nov. '4, 19". 190.
luncher

ithis 0o. nolly.
Nov. ;7, Le. 194.

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152.

MaTee
Votes against salary reduction nlan of Federal Roc-rye Bank,
New York.
The same as to Federal Resorve Bank, Richmond.
July 29, 1932. 67.
Told 0.3.H. that Gov. :leyeris address of Washington Conference
of Business ant. Industrial CourAittees was very poor and
unworthy of him.
Aug. 31, 1902. 130.
Favors the spread-t.,e-work plan of Feder'l Re-eve Bank,
Oct. 11, 193. 140.

ew fork.

Voted to admit Continental Illinois Bank e: Trust Co. into
F:H. Syste.i.
Oct. 13, 1932. 146.
AL,res es stockholders Lieetin of Federal Reserve Bank, Boston.
Oct. 2D, 1932. 152.
Visits 3..H. at.:.attapoisett - with -rs' aee.
Oct. 22, 1932. 154.
ives lunch to, at .latta--)oisPtt.
Oct. 2:, 1932. 154.'
Votes to admit nanhattan ColApany on condition that it disooses of
its stock in 3 other banks within 6 months.
Nov. 21, 1932. 184.
Votes tht Board will internose
resrve
no objection to Federal
r2
r&-the-workr
I
banks'
working on a s-17ov. 23, 1932. 189.
C.E.
Writes C.S.H. that Hoover offered an ao-iointmnnt on the Federal
Reserve Board to H..1.2. Dean, Senior Vice President of
Cont. Ill. Bank
Trust Co. of Chicago, who declined.
2-ov. 21, 19'n. 183.
Maine election, 19:3.
The Democrats elected r.lovernor and 2 out of the 3 Colkress.aen.
Se7yt. 13, 1332. 111.

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153.

.ianhattan Bank & Trust Co.
Board took un .-1etition -'or aduissin of, and. heard Mr. Warburg.
Two questions:

1. Examination before admission
2.

Ownership of contro_ling stock in 3 other banks,
Dractirally branches.

In Aup.',u.st Board notified Case to make examination which he
neglected to do, admit tin;; his negligence.
Board sent .L'ulger to make preliminary examination so we could
know of its condition before its stockholders etin on
Tuealay.
llyatt said we could not admit it before it had disposed of its
stock in 3 other banks.
6.H. said this would be so if the 3 banks were realr branches,
but that stock: holding did not create a branch, exce-A that
it mizht violate the s2irit of the McFadden bill.
said we could admit it on condition that it should uispossess
itself of the stock witin a reasonable time.
Wyatt finally admitted we could do this legally, altho he did not
favor it.
rov. Meyer left the me.ting and later Floyd Harrison s7 , id he was
going awlr for the week and would not return.
Miller was vary indignant and moved to adjouxn until .:onday
when
.
Gov. '.:eyer could be present.
Wyatt said we hoard that Gov. Meyer hild _Tone to

tlntic City.

C.z).. said that althowth he was nrepared to vote to ,d.1.1it on
condition that it disnose of its stock within a reasonable
time, he felt tae Board ilould be unanimous.

Janes said he was willino• to acce-,-,t agreement of Gam2any to do
anything required on final examination.
iTthinrr was known as to its -Trust De-)Lrtment,
Paulger could reort on this before Tueday.

Board honed

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Federal Reserve Bank of St. Louis

154.

Manhattan Bank & Trust Co. (Contld.)
7ree to became a clearin7.mellber, until
James ur{:ed Warburc; to
final deposition but Warburg felt this would injure the
.aany in ejes of the Ai:bile.
Floyd Harrison toll 0.,.H. that Qom-any couli vote to give the
director:, )o er to 'ork out the details and then adjourn.
Board finally adopteil.:illerls motion and. adjDurned until hon y.
Nov. 18, 1932. 17,i, 176, 176, 1 '7.
Paulger re-)orted that :ew York Sunerintendent of Banks be an an
examination last Friday, with assistance o' Federal reserve
examiner; that while it would not be ?,orml(,ted for 2 wedks,
yet that they hal examired all loans over 50 thousand aollars,
and also the various trul,ts; that 1ar7e charge off had been
made and reserves set un for Austria* German, and Hungarian
loans; that the bank was conservtive and sound and in -ood
conditlon.
The Board voted to adr.iit it in the usunl ,:onditions and -ome
snecial conditi is, among others that it should, within 6
months, uis-lossess itself of its stoc': ownershin in the
thrae
Aye: (ov. neyer, J..H., hiller and nagee
17.b; James
James said he was not satisfied with the present examination nor
with the :iecision that the bank might disnossess itself of
the stock ownershin after admission.
Wyatt said the above action as legal, although .2ossib1y inconyhich,
sistent with Board's ralin- - the Ardmore cane,
how ver, C.S.H. denied.
Yov. 21, 1932. 183, 184.
n-rion,
Presift2,ntia1 vote.
Hoover 496, RoosevA.t 169.
A great Democratic gain.
rov. 9, 1932. 165.
See - :cDonald, Dr.
nattl-L)oisett
H.P.H. leaves rew York for.
July b, 1932. 18.
0.6.H. .ttended anniversary celebration of foundinr, of the town.
Aug. 7, 1932. 73.

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Federal Reserve Bank of St. Louis

155.

MAtta9oisett (Contld.)
C.S.H. delivered nAdress

celebration.
4.r.,. 9,1932. 76.

f vir.i to raise the flag in honor of the
H.P.H. told. Ezra Bridc,
celebru•tion.
He nut it at half mast.
her son
Some villagers teleohoned. us a'oout it. Pegg7 Barns toli
to
hi:.1
sent
and
night
the
in
died
had
she feared C.S.H.
he
nuiet
so
was
it
saying
.
returned
boy
our house, but the
the
ring
did. not dare to
Aug. 10, 1932. 80.
ajeant.

We :.,ttend

Aug. 10, 1932. 79.

We ztttend. Old Folks concert. Aiv-. 10, 1332. 79.
Our house struck by li :htning.
Au. 12, 1932. 80.
New York Yacht Club arrives. Aw.:;. 13, 1 932. 81.
of.
H.P.H. cl-cted ..tresident of Village L-11)rovetaent ,ussoci-tion
Se )t. 8, 1932. 109.
Did not -o to, this week.
Ur. ez

rs.

a.ee come to.

.;.t week.
Did not go to, L,,

Oct. 8, 1932. 134.
Oct. 21, 1932. 153.
Oct. -1, 112. 10.

Vote for President.
Hoover 469. Row. )1Trqt 19.
An amazing Democratic yain.
Al SI:lith cot only 131 in 1928.
Nov. 9, 1932. 165.
leavc for Albany via :?alrarr.
Nov. 22, 1932. 185.
Paid. mortgage interest Nov. 26, 1932.
Not due until Dec. 3, 1932. Nov. 26, 1932. 193.
See - Annual leave
Public Utilities Corx.iission, ::ass.

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Federal Reserve Bank of St. Louis

156.

G.
Mo4doo,
lt had
Col. House told Woolley that ::citdoo stated that Roosve
ry
Secreta
the
ing
trppoint
nroLlised to consult him before
y.
Treasur
of State and becretry of
that
Woolley said this was not a condition of a7mointment; i.e.
.
consult
to
promise
a
merely
but
noii.doo was to annrove it,
July 24, 1932. 51.
Geor7e B.
0.6.H. called on.
They invited us to Christmas dinner.
Oct. 16, 1922. 150.
L:cConnell, James E.
National
Told 0.b.H. that a client of his owed $5000 to the First
nresent
at
even
ral,
colLite
by
secured
Bank of Boston, amply
the
sell
to
him
a(:.vised
officer
bank
low values; that a
collateral and nay the loan, as, in the likely event of
colla-)se of security
Roosevelt's electi n, there would be
valuesi
Sent. 23, 1932. 117.
McDonald, Dr.
:Jr. ason,
Edw:rd Hamlin told 0.6.H. that Dr. ncDonald told him that
Editor of the Ne;i York Eveninc Post had written him asking
if infantile naralysis was not usually followed by mental
croulle; that Dr. ::cDonald said he wrote him that he
lt's
evidently wanted to cet information as to Gov. Roosev,
talk
to
mental condition; that it would be unnrofessional
the
about his patients, but that he would say that after
of
case
a
initial 1,ttack he had never known or heard of
mental trouble.
Early this sunmer, C;ov. Roosevi'lt went on his yacht to :larion
but did not land and dic. not call on Dr. 1:cDonki1d. Dr.
and
Donald felt it keenly and told Harriet Hamlin about it,
She told 0..H. who told Delano.
told
As a result Gov. Rooevelt wrote Dr. ::c1)ona1d and said he
he
but
ld
his son who went ashore to 3n11 on Dr. :icDona
fonTot to do so.
Before this letter was received, Ili's. Cl rk of Marion told Harriet
, hat :iason as visitinc her and called on Dr. :.:cDonald
,
to
snent an hour with him, and tt at the end ::ason said
hands"1
him, "You have C'Tovernor Roosevelt's fatein your
Later he (1:2-le ;

in to Marion and had another interview.

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Federal Reserve Bank of St. Louis

157.

McDonald, Dr. (Ocntld.)
fl,overnor Rooseveltis letter com2letely satisfied Dr. cDonald
and he said he should vote for Gov. Rocvlevelt an if any ohar7e
were nade as to his mental conLition he would answ ,?r it
decisively.
We feared that Dr. -cDonald m-y, in his original anger, have said
sauetiling unpleant bout Gov. Roosevelt, but tdraugh Harriet
Hamlirs efforts tile ho1e matt -r was cleared un.
Oct. 21, 1932. 153, 154.
1:.cDowfal, Gov.
Says we should cease nurchasIng Government securities.
ri1 12th for the major operation 0.6.H. pointed out that he had voted on
$500 -)er month, and asked him if it would not be ctan4erous
to stop coi:1-')letely now.
He r.d.litted there

be some daw,er in so doing.
July 14, 1932. 41.

Votes a.aint o-'-en market rsolution, Governors Conference,
authority to lurchase Goverment securities un to
200 millions of excess reserves.
July 14, 1932. 41 (3)
See - Governors Conference.
linNamara, CaDt.
Dines with us.
Seyt. 25, 1932. 116.
nrs. :IcNamaxa called.
Oct. 1, 1932. 122.
dine
Nov. 1, 11.13:':. 1.30.
J.-.H. calls on. Out.
lrov. 17, 1932. 177.
LCNary-Hauc;en bill
Delano Laid Gov. Lowden favored.
Nov. 19, 1932. 178.
ncKinney, Gov.
Voted No on resolution of Governor in ar)losition to salary cuts.
Nov. la, 1932. 171, 190.

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Federal Reserve Bank of St. Louis

158.

!Zenon, Andrew
sneaking union in London,
akes 1;olitical sl)eech before ::111161ifih
advocatinL; Hoover's election, am, stating that our depression
was not due to , he tn-iff.
Oct. 21, 1932. 152.
Lember banks
'lass told 0.t,.H. he was nersuaded to strike off in the original
draft of Federa Res rve Act the 7.)ower n Federal rescrve
bnrilt.
.s to bur commercial paper in onen market because it
would involve conetition with member banks.
July 28, 19, 64.
See — 1ie3erves
nemorandum,
ainst reduction of salary nroposed by Federal reserve Ban,
Yew York.
July 25, 19'6. 51.
1:emorandum, Hoov?r. 1,93
See — Hoover; Gold. standard.

•

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Federal Reserve Bank of St. Louis

159.

11E711,_ GOV.
Lnd ex.

Absence necessitating delay in hearing.
121, 122, 133.
Acceptance rates. 11.
Act of July 22, 1932. 57i.
Address, Washington Conference. 74, 79.
Anglo.American Bank
See - Bank of America
Bank of America. 87, 88.
Bank of France. 118.
Birthday. 128.
Burgess, Dept. Gov. Federal Reserve Bank, New York. 107, 112.
Business and Industrial Committees.
24, 25, 74, 79, 81.
See - Washington Conference.
Business depression. 5
Cabinet members complex. 35, 126, 136.
Calkins, Gov. 71, 87.
Carey, Sen. 32.
Castle, Under Secretary.
7, 16, 57, 95, 104.
Changing Wyatt's a)inion.

Unification. 140.

Cleveland business and industrial Committee. 58.
Concealment from Federal Reserve Board. 70, 73.
Conferences. 60, 73.
See - Was-Ungton Conference.
(Page 159-A follows)

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Federal Reserve Bank of St. Louis

Continental Illinois Bank & Trust Co. 110.
Cotton Loan Corporation. 65.
Credit restriction.

53.

Daiger. 40.
Dawes, Vice President. 8.
DeCamp, Federal Reserve Agent. 121, 146.
Delano, 7. A.
136, 137, 138, 149, 150.
Democrats. 32. 33.
•

•.;

Discount rates. 10, 71.
Dissatisfaction with. 17, 18, 19.
Dissenting vote, C.S.H. 40.
Domination of, by Mills. 91.
Domination of, by P.R. Bank, N. Y. 63, 90.
Domination over Federal Reserve Board. 23, 35, 100, 109.
Easy Jamey policy. 99.
Egotism. 84.
Emergency. 61.
"Esquire. Castle to. 7, 16, 17, 94, 104.
Federal Advisory Council. 103.
Federal Farm Loan Board. 136.
Federal Reserve Bank of
Atlanta. 142.
Boston. 2, 3.
Chicago. 142.
Dallas. 142.
Minneapolis. 142
St. Louis. 142.
New York 4, 6, 14, 22, 62, 63, 90, 107, 109,
113, 114, 118.
(Page 159-B follows)

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Federal Reserve Bank of St. Louis

159-.3

Federal reserve banks. 141.
Federal Reserve Board.
14, 140, 41, 42, 51, 81, 82, 83, 85, 87, 91, 96, 109,
130, 141, 144.
Federal reserve branch, New Orleans. 142.
Federal Reserve Bulletin. 112, 114.
Federal Reserve direct loan amendment.
37, 40, 41, 42, 44, 45, 46, 47, 48, 49, 53, 71.
Federal Reserve officers. 145.
Federal Reserve System. 144.
Financial worries. 21.
Friction with. Hoover. 21, 38.
Garner. 47.
Glanini-Walker fight. 87, 88.
Glass. 26, 41, 42, 44, 48, 51, 61, 116.
Glass bill. 34, 132.
Glass-Steagall bill. 136.
Gold. 112, 114, 117.
Gold standard. 112, 114, 115, 116.
Goldenweiser. 112, 114.
Government securities.
See - Open market operations.
Governor, Federal Reserve Board.
83, 126, 137.
Governors Conference. 132.
See same; principal heading
Guardian Trunt Co. 146.
(Page 159-C follows)

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Federal Reserve Bank of St. Louis

159-C

Hamlin, C. S.
2,3, 14, 30, 34, 40, 41, 51, 59, 61, 65, 74, 88, 99,
100, 112, 114, 115, 135, 136, 144.
Harrison, Floyd
2,23, 51, 107, 110, 121, 140.
Harrison, Gov.
15, 25, 60, 70, 80.
Hoover, President
1, 17, 19, 25, 36, 37, 38, 39, 40, 42, 44, 48, 53, 58,
61, 75, 78, 81, 82, 85, 96, 97, 112, 11/1, 115, 116,
120, 126, 131, 136.
House of Representatives. 47.
Ignoring Federal Reserve Board, 136.
Illness. 39, 50, 77, 98.
James. 100, 110.
Jew. 86
LL.D. 12
Lack of policies. 99.
Leaves, Absence from Washington
9, 35, 55, 64, 66, 67, 68, 76, 92, 93, 94, 102, 105, 106,
111, 119, 121, 123, 127, 129, 133, 134, 142, 143.
Loans to Federal reserve officers. 148.
Lodge, Sen. 150.
Magee. 110
Manhattan Company. 133, 139.
Meyer, Lire. 37.
Miller, Dr.
14, 17, 18, 19, 20, 21, 25, 26, 32, 33, 34, 35, 37, 40,
42,43, 44, 48, 73, 77, 78, 90, 81, 84, 85, 86, 87, 88,
89, 90, 91, 96, 97, 98, 114, 118, 120, 130, 135.
Mills, Ogden
60, 74, 91, 97, 98, 99.
Morrill. 23,28, 38, 123
(Page 159-1) follows)

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Federal Reserve Bank of St. Louis

159—D

Nationalization of banks. 140.
Neglect of duty. 31.
Norman, Gov. 70, 80, 101
Officers

Federal reserve .145.

Open Market Executive Committee. 5, 6.
Open market operations. 4, 15, 29, 30.
Unification. 140

Olpinion of Wyatt.

Platt, Edmund. 138.
Policies, Lack of. 99
Policy, Easy money. 99
Political laibility
See Miller. 6.
Politics. 144.
Prime Minister.

97, 126.

Private telephone wire. 14, 22, 100.
Reconstruction Finance Corporation.
8, 12, 17, 19, 23, 26, 31, 32, 36, 39, 51, 56, 57A-, 69, 136.
Redesignation as Governor.
126, 149.
Regulations, Federal reserve direct loans. 49.
Reputation. 137.
Resienations.
DeCamp. 146
Gov. Meyer. 124, 126, 131, 149
Platt 138.
Robinson, Henry W. 40.
Robinson, Sen. 44.
Rooney, Miss. 69
Roosevelt. 124, 126, 137.

(Page 159—E follows)

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Federal Reserve Bank of St. Louis

Rough neck manners. 87
Salary reductions
59, 62, 63, 113, 141.
Sarcastic manner. 30.
Secretary of Treasury. 91, 126.
Shelving of Federal Reserve Boaru. 126, 130.
Shifty. eyes. 137.
Sickness
See - Illness
Smithsonian Institute. 150
Stevens, Federal Reserve Agent, Chicago. 147
Strain. 28
Swelled head. 22.
Te1e7)hone, Private. 14, 22, 100.
Timidity. 34.
Trade acceptances. 72.
Trading with Enemy Act, 117.
Unification arbanking. 140.
United States Treasury. 117.
Usurpation of power. 61.
Veto. 42.
Votes.
40, 45, 62, 63, 110, 139, 141.
Waiker-Gianini fight. 87, 88.
War finance Cornoration. 136
Warburg, Paul. 83.
Warren, Charles. 8.

(Page 159-F follows)

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Federal Reserve Bank of St. Louis

159-P

Washington Conference
Business & Industrial Committees.
74, 79, 81.
Worry. 20, 21, 27, 31, 39.
Wyatt
117, 126, 134, 140.
Young, Gov. 138.
Young, Owen 2. 60, 74.
Yale University, LL.D.

12.

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Federal Reserve Bank of St. Louis

160.

Ley e r, Gov.
1. goes with Hoover to his camp.
June 4, 1932. 1.
2.

0.3.H. [noes ith, nd Floyd Harrison to Federal Reserve
June 13, 1932. 1.
Bank, Boston.

3. Addresses meeting of Boston bankers.
June 14, 1932. 1.
4.

To be at Executive Caxaittee, onen market laetinL:,
Fee.t,,ral i-terve Bank, New York taaorrow.
Believe we should continue anen marltrt -)u.r3hz-ts-c..
June 15, 1932. 1.

liens Board thin7s are 1ookin7 brihter Lnd he believes the
tide of denression is turnIng.
June 16, 1932. 2.

At moctin:; of Executive Com.aittee of ()en Harket Conference,
Federal Re erve Bank, New York.
June 17, 1932. 4.

UnLer Secretary Castle sends official letter to, addressed
4Esquireli
June 18, 19.32. 5.

Charles Warr=311 said it was colIon knowledse that Dawes and,
w. re at swords points in the R.11.0.
June 18, 1932. 5, 6.

9. Still a-qi from Washilvton.
June 21, 1932. 8.
June 2J, 1932. 8, 9.

10.

See di-2count rats.

11.

See - Acceptance rates.
June 23, 1932. 10.

12. Yale Uri,Tersity gives L.L.D. to.
0.3.H. believes it justified for his work on H.F.:.
June 2, 1932. 13.
13.

Goes to Uew Yorkfbr week-end.
June 28, 1932. 13.

14.

in
York, has :yat
Tells Board the Federal Re,;Irve Bank,
a nrivL,te telenhone wire bPtween the bank :,11d house of,
in Westchester County; that he thought this was a
oroper charge for the iederal Reserve Board. The
expense was about $160 ner month.

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Federal Reserve Bank of St. Louis

161.

Meyer, Gov. (Contld.)
14.(Cont'd.)
J.6.H. agreed with Gov. Meyer.
said, the Fe,eral Res-rve Bank, New York, should "say for it.
Gov. ::e:pr said he would tEtice it un witn New York.
July 1, 193P. 17.
15.

Tells Gov. Htkrrison over telenhone that it would be better
to buy some Government securities to '1.event a ftalin L off.
July 5, 1932. 19.

16.

TAIder Seer, ary Castle to.
Addressed "Lsouire"
July 6, 193. 2.

17.

Lliller says there is great ornosition to, as to R.2.C.; that
he was considered hard boiled.; that Hoover had received
many com7)laints; that, was a 1)o1iticp.1 liability.
July 6, 192. 22, 23.

18. :Aller said many felt that, had a swelled head; that there is
a rrrowin7, dissatisfction with him.
July 6, 1932. 23.
19. :aller feels, but k.nows nothing, that Hoover's faith in, is
shaken, rea1i7,inc, that he has not make cood, — that
conditions are worse than when he went on the Federal
Reserve Board; that there is a ramor that, will soon be
"relieved" from his arduous duties in the R.F.C.
July 6, l9i2. 23.
20.

Miller said the manners of, in Board meetings had been almost
unbearable, but that later he had seemed almost stunned
and greatly worried.
thinks he realizes he has not made good.
July 6, 1932. 23.

21.

0')

LUller thinks it -robable that Gov. Meycz has financial orries;
that he had. invested heavily after the crash of 1929,
exnecting a rise in values, and that he is now aauht in
the fall.
July 6, 1932. 23, 24.
:Aller said an indication of his swell headedness was having
a nrivate telenhone wire between the F.H. Bank of
Y. and
his house in Westcheste:' County.
July 6, 193::.

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Federal Reserve Bank of St. Louis

16 2.

Meyr,

(Contld.)

23.

Miller .:,greed with C.S.H. that, had lut the Federal Rove
BoLrd out of business by arroating to himself and to
his assistants, Floyd Harrison and. Morrill, practical
domination of the Board, so that he could Tive his whole
time to the Ri.C.
24.
July 6,

24.

C.H. and lAller agree that if we could have had a conference
of business men and bankers in Washin.7ton to arrange a
)rogram for the Businesr. and Industrial Cora ttee to be
later a]pointed, matters would have progressed better, but
Gov. Meyer oT)position kilie this.
July 6, 1932. 24.

25.

Miller said Hoover once asked him i. Gov. Harrison was not
abler than; that Miller said No, there was no comparison,
that Gov. Meyer was far abler.
July 6, 1932. 25.

26.

Miller said, told him that Glass was to attack him as to
the R.F.C. and that he asked him to use his influence
to dissuade him; that Miller sEdd he told him he nevr
welat to Glass unless sent for; that it would be useless.
July 6, 1932. 5.

27.

O. .H. met Mrs. Miller in the street. She said she alme
down with Gov. ileyr on the ;fternoon of July 4; tiat it
was her duty to stay with him, he was so "perplexed"
July 6,192. 25.

28. Morrill told 0.s.H. that, shows the strain he is under.
July 6, 1932. 26.
A political liability. July 6, 1933. See - Miller. 6.
29. Gov. Security purChasos.
July 7, 1932. 27.
See - Government s,curities.
30. Sarcastically tells C.S.H. that if believes Board is morally
bound to secure 73articilotion of all banks in
purchase of Government securities, after open market
conference has voted, he had better 'calm it up with
Boston - which C.S.H. at once said he would do.
July 7, 1932. 27.

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Federal Reserve Bank of St. Louis

163.

Meyer, Gov. (Cohtld.)
31.

Gov. Meyer seems tired and delressed. He is absorbed
in R.F.C. nroblels to the utter neelect of Federal
reserve nroblems.
July 7, 1932. 27, 28.
Miller said Sen. Carey told him there was great o7)eosit1on to,
because he had an.2ointed so many Democrats ih the R.Y.O.
30•
July 11, 1932.
Ililler said, felt that he was the daminatin influence in
the Federal Aeserve Board; that he realXy felt he was
a Cabinet member and that the other members were his
subordinates.
July 11, 193:. 30.

34. Miller said, wanted to dominate just as if he were J.P.Morgan
but that he had a certain timidity, — a fear of havillg
any one in the Board annose him — as was shorn by
his final accel)tance of Sec. 3 of the Glass bill,
e.H. aril iiller
rather than havine an open firht wit:1
Canmittee.
Senate
before the
July 11, 1932. 30.
35.

Gov. Meyer did not go to New York this week.
July 11, 1932. 30.

36. Hoover sends message to Congress.
Sajs he wished to dran Gov. Meyer from the R.F.C. but to
retain Ogden :Sills on it.
0.0.H. believes Hoover feels that, has failed to males good.
July 12, 1932. 31.
37,

Gov. Meyer did not want to rive Hoover the Board nrotect
against the Feieral re erve direct discount amendment,
and persua.ed Miller to do it.
He seemed very quiet as if so,Aethin: was on his mind.
July 12, 1932. 32.
believe there is friction between Hoover and.
July 12, 1932. 32.

38.

C.S.H. and

39.

Morrill tells C.S.H. that, was not well, was worn out, and
strict diet; that his -orivate ohysician :as now
on
staLrini17 at his house.
He said Gov. Mey_r had asked Hower to 2elieve him from the

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Federal Reserve Bank of St. Louis

164.

Meyer, aov. (Contld.)
39 (Conkid.)
believes, howev3r, that, knew Hoover wanted him out.
July 12, 1132. 32,
40.

Go-v. Ileyer told Board about tne Glass amendment, - Federal
reoorve direct discounts.
C.S.H. exnlained to Board his connection with it.
Gov. Meyer severely criticised :;.S.H. for sur-gesting the
amendment without -)rior consultation -ith the Board.
C.0.H. again exnlained it, znu quoted Dai,70:. ho said Henry W.
Robinson told hia there were many cnses in San Francisco
district where worthy borro ers were refused credit.
Gov. Meyer with great sarcasm said this amenftment was •put
in on strength of Dair;eris statement.
C.S.H. said he had never mentioned this statement to Glass.
Gov. neyer then cooled own somewhat as to is objection
to the amendment on its merits, and finally said his
chief objection 'as to having it introduced without
0:2Hortunity for hearing and decisLon by tie Board.
Gov. Meyer then asked the o)in_on of the Board as to its
merits and as to the exnediency of enactin- it at
the present time.
voted Aye.
James and the Cor.1-)troller voted No.
Miller,
)r.
Gov.Meyer dodged and aid not vote as J.6.H. remembers.
If he di- vote it was certainly in t;:le ne-ative.
alone dissenting; that Gov.
Finally Board agreed,
Meyer should tele--)hone Hoover and --)rotest ainst
its being enacted into law.
Gov. Ileyer did not annarently want to co.muntnte with
to dO this.
Hoover and ne nersuiLded
July 12, 1932. 33, (1) (2) (3)

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Federal Reserve Bank of St. Louis

165,

Meyer, Gov. (Contld.)
sAould have oonsulted
41. As to Gov. Mey,ir's claim that
out that it was 15
noint
to
the Board, it is sufficient
that he
n.m.;
minutes before closing time - 1:00
York, altho
liew
to
one
usual
as
had
assumed Croat. 14eyer
had
been
Board
if
even
that
one;
.
not
had
he
in .- '„ct
have sent
still
would
0..H.
had
,nd
aisan)rove,l,
consulted
it to Glass as a personal comdiance with his reouest.
July 12, 123-* 33 (4)
See - Federal reserve direct dicounts.
42.

Gov. Meyer comes into 0..H.'s office and said his objections
yesterday were not to the merits of the amendment but
to the nrecinitous way it had been rushed through the
senate by Glass.
He !,..lso said Board members should not draw araend.ments of that
kind without consultation with the Board, :.ltho he said
he knew nerfectly well that Miller had often done this.
S.H. exnlained again the circumstances and said he had
consulted Miller - the only Board member nresent and that
Miller, -ithout e:Tressing any o-dnian on the merits, said
he saw no nossible o':jection to com-lying with Glass's
July 13, 1932. 35.
request.

43.

Later Miller told C.S.H. that Gov. Meyer called him un last
night and had a half hour's talk as to whether lov. Meyer
should a ,vise Hoover to sign or veto the bill cont:ining
the amendment; that he - Miller- told Gov. Meyer the
amendment was well drawn and copper riveted; that in normal
times he would unhesitatingly acce'A it; that in these
abnormal times he felt it would do no harm and might do
good; that he certainly s .ould not advise Hoover to veto
the bill because of this amendment.
July US, 192. 35.

44.

Glass calls up C.S.H. ana says that Hoover haa just had just
had a conference at the White House, at which Gov. Meer,
Ogden Mills, and, .S .H. thinks he said, Sen. Robinson the
minority leader,at which it was quickly agreed that the
amendment was sound, feasible, and absolutely necessary;
that Gov. Meyer and Mills haa just called on him and told
him the almve.
July 16, 1932. 35.

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Federal Reserve Bank of St. Louis

166.

Meyer, Gov. (Contld.)
45.

At noon the Board met and lov. Meyer exnlained above
doing his best to square his statements to Glass as
above set forth, with his on )osition of yesterday — and
his disreard of Board's vote on the .ziendment.
He said he had no doubt there were many v;ho could not obtain
,lthough having adequate collateral and that the
mendment would do good and that by its express terms
there would be no camnetition with the member banks.
July 13, 193. 35, 35 (1) 35 (2). 43.

46.

To James objection to the manner of nassing it, Gov. Meyer
said that Glass . as anologetic for having acted so quickly,
but that conditions were so serious, with Congress about
to adjourn, that there was no time to consult the Board.
July 13, 1932. 35 (2)

47.

Gov. Meyer said the H.R. would probaioly strike out all of
the Senate til after the enacting clause nd then
substitute the H.R. bill changed to meet the Senate .
amendments; t:Lit Gner would as amatter of pride,
insist on this.
July 13, 1932. 35 (2)

48.

Gov. Meyer now must feel very foolish at the action of the
Board in Lirecting him to protest to Hoover as to the Crlass
amendment, aud very hanny that he was able to -oersuade
Miller to act in his stead.
July 13, 1932. 36:

49.

Gov. :,eyer criticised the first draft of regulations under the
Glass amendment, as ex-oosing tne Board to a charge of
bad faith, as they were so rigid and technical.
July 13, 1932. 36.

50.

Gov. Meyer said he felt "all in" and went home leaving
Board in session.
July 13, 1932. 36.

51.

At request of Floyd Harrison and. with anproval of Board, C.S.H.
wrote Glass honing he would pass the necessary legislation
to relieve 1.ov. Meyer from his work on the R.7.0. Which
he had done so well.
July 13, 1932. 37.

52.

Governors Conference, Open market.
July 14, 1932. 41.
See — Governors Conference.

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Federal Reserve Bank of St. Louis

167.

Meyer, Gov. (C)ntid.)
53.

Gov. Meyer, sneakin:r. of the Glass -;.le.ry.11-iient, to the Governors
said that Bank i'residents all over the country are saying
that everyone entitled to credit can get it; that
tills was pure "bunk"; that he knew, and everyone knew
that neonle all over the country who were entitled to
credit and i.th satisn ., ctory collateral for business
purposes, were unable to sc-,cure it from the 15an1's.
July 15, 1932. 41.

5.1
.

The Governors felt they could not take the time to accent
Hoover's invitation to meet him in the e7ening, and
Gov. Meyr said he would exnlain this to Hoover.
The Governors felt that it might disturb the nullic if they
went to the White House.
July 15, 1932. 41 (2)

55.

Gov. Meyer in New York.
July 15, 1932. 42.

56.

Gov. Meyer was very Quiet and subdued at Board meeting.
He referred to fact that he soon would be relieved of the
R.Y.C. bu, said nothin- as to being lad of this relief.
0.-.H. believes he was forced out against his will.
July 19, 1932. 44.

57.

Under Secret -ay Castle in letter uses "Esquire"
JUly 22, 1932: 46.
57i. Act of July 22, 1932 drops, from
u8. Alludes to re-)ort of Cleveland Business and Industrial
Co,,littee that credit was largely bein refused by
fearful or unliquid bank; saia he had sent a co-,y
to Hoover and reaJ Hoover's rely.
July 26, 1932. 53.
See - Hoover
59.

'.%6.H. sends letter of 7
.)rotest against proposed salary
reduction by Fedral Reserve Bank of New York - to Gov.
Meyer.
July 26, 193. 54, b5.
See - scrap blok.

60. Is having a meetin{J: with Mills, Gov. Harrison, Owen D. Young
et al but for what nurnose no Board =mber knows.
July 28, 193n. 63.

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Federal Reserve Bank of St. Louis

168.

Meyer, Gov. (Contld.)
61.

Gov. Meyer read the letter from Hoover practically
ordering the Board to declare an emergency under
the Glass direct discount mendient, in a very low
and mumblin voice.
0..H. could scarcely hear a word and irsi - ted on having
a co y.
C.S.H. believes Gov. Meyer ho-eed the Board would not
an ireciate Hoover's illegal aesumotion of authority.
July 26, 19,32. 65.

62.

Votes to disapprove -eraoosed reduction of salaries by
Federal Reserve Bank of New York anL Federal Reserve Bank
of Richmond.
July 29, 1932. 67.

63. Insists on softening the Board letter disapproving New York
reduction of salaries, and later sins a letter in •
which Board regrets it can not see its my clear to
:2-2roving the reduction.
The letter was too timid and reveals Gov. Meyer's fear of
antagonizing 7ew York.
Aug.
'1932. 69.
64.

Gov. lley,r still in New York.
Aug. 4, 1932. 71.

65.

C.S.H. sw7ested some time z,..To the fomation of a cotton
loan cor2oration along lines of cotton loan fund of
1915, but Gov. Meyer almost bitterly attacked it, but
now he is aavocating a similar coreoration as his own
invention.
(See 20 Diary, 177, 178.)
4, 1932. 71.

66.

Goes to New York.

67. Away this week.
68.

Aug. 10, 1962. 76.
Aug. 15, 1932. 82.

Gov. Meyer is away crusing on a steam yacht.
Aug. 15, 1932. 84.

69. Miss Rooney, at Miss Pattenl,s, tola C.S.H. she knew, was
fired out of the R.F.C.
Axiz.21, 1932. 88, 90.

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Federal Reserve Bank of St. Louis

169.

Meyer, Gov. (Contid.)
70.

Clov. Meyer said he knew nothing about the rumor that
Gov. Harrison •.,:as to risit Gov. lroltian at Bar Harbor;
that Cr0v. Ha_-rison
at his desk yesterday.
Gov. i:ey-ri s manner of sneaking satisfied C.S.H. that
he 'mew more than he was willing to tell about Gov.
Norman's visit to U.S. Perhars later he win take
the Board into his confidence.
C.S.H. had. asked him for what 7.)urnose Gov. No man came to
1:ew York.
Aug. 24, 1932. 92.

71.

Gov. Meyer did not object to a 75 rate on Federal re-f,rve
direct discounts but was finally directed to take
uo matter with Gov. Calkins.
Aug. 24, 1932. 93.

72.

Said he was not in sym--)-1thy with effort -Lo encourage trade
r.s.cce:Itances; that promissorg notes indorsed. -.ere just
as good.; that trade accentances did not help cre....te new
credit.
Aug. 4, 193-. 94.

73.

The Chairman of Business and. Industrial Commit t ces of the
12 Federal reserve district - met all day in ti.e Bo • rd
room wi:;11. Gov. :.leyer and Ogden Mills.
No members of Bcr rd were invited.
C.S.H. begins to believe that Deraocn, ts are not li-ntedl
Aug. 25, 19:2. 94.

74.

Slic,aks at Conference o: Business a
at Denartment of Commerce.

Industrial Coli.-iitees

He did not apnear at the afternoon session.
Lae in the afternoon he came into C.b.H.Is e2fice and
said he had kent in the backr:round as the whole
affair was engineered by Hoover, Mali*, and Owen B.
Young.
Aug.. 26, 1932. 95.
75.

C.S.H. is satisfied that Hoover has ti.rown, outside of
the breask:()rim!
Aug. (,)6, 1932. 95.

76.

Gov. Meyer left last Saturday Aug. 27th and. is to be
away all of this week and nerhans next week.
Aug. 31, 1932. 97.

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Federal Reserve Bank of St. Louis

170.

Meyer, Gov. (Cont'd.)
77. Miller told Board that, was tired out; that he had
advised him to remain away for another week at least;
that he, because of this, had postponed his trip to
California.
Aug. 31, 1932, 98.
78.

Hoover directs a letter to Miller as, in Gov. Meyer's
absence, he did not know to wham to address it.
Aug. 31, 193. 98.

79.

Magee told C.S.H. that the address of, at the Conference
was Very poor and did not do him justice.
Aug. 31, 1932. 100.

so.

Gov. Meyer told Miller he had been invited by Gov. Harrison
to meet Gov. Nonnan at dinner and asked his a:Lvice as
to acce)tance.
Miller advised him not to accept.
Miller said that later Gov. Meyer telephone, him from New York
that he would not go.
Sept. 1, 1932. 100'

81.

Miller said he was satisfied that Hoover was "out" with
Gov. Meyer; that when he explained the necessity of a
Washington Conference to prepare plans for the Business
and Industrial Committees, he told Hoover that the
Federal Reserve Board should put this through; that
Hoover said that Gov. Meyer would,be of no help; that
he knew him as well as did Miller; th,t it was useless
to expect help from him; that he, Hoover, would have
to put it throach himself outside of the Board.
Sept. 1, 1932. 101, 102.

82.

Miller said he believed, had "oversold" himself to Hoover.
We both agreed that in all probability Gov. Meyer had
belittled the 13oard to Hoover and had made extreme
statements as to what he could do if put on the Board
and made Governor, with a wave of his magic wand; that
Hoover was "sold" but that conditions have bean growing
steadily worse and Hoover had lost faith in.
Sept. 1, 1932. 102.

83.

Miller said Gov. Meyer for many years had wantei to be
Governor of the Board, and that he had told him he would
have been appointed in 1923 except for Paul Warburg's
opposition. Miller :aid Warburg was a Jew of hisher

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Federal Reserve Bank of St. Louis

171

Meyer, Gov. (Contld.)
83. (Contld.)
caste and lookel down on Meyer.
Sept. 1, 1932. 102.
84. Miller said Gov. Meyer was full of egotism, very conceited
and a perfect rough neck in manner; that he considered
any man who was self contained and quiet as a weak man.
Sept. 1, 1932. 103.
85.

Miller said Gov. Meyer was beginning 1Drealize that
after all, the Board members were intelligent and honest,
and, on the whole, able man. We felt that realization
that Hoover felt he had not made good rather turned him
towards the Board.
Sept. 1, 1932. 103.

86. :1iller said the only way to treat a Jew was to kick him in
the stomach and fear alone would make him amenable and
bearable.
Se)t.,1, 1932. 103.
87. Miller said that Gov. Meyer tried his rough-neck methods when
he got the Board to direct Gov. Calkins to intervene in
the Gianini-Walker fight for proxies at the Bank of
America meeting; that Gov. Meyer was overwhelmingly beaten
by Gianini; that Gianini could get all the aid he wanted
from the R.F.C., for, if refused, he could publish the
Board's correspondence which would seriously injure
Gov. Meyer and perhaps also the Board.
Sept. 1, 1932. 103, 104.
88.

C.S.H. told Miller he suspected at the time that the Walker
interests might have persuaded Gov. Meyer to inluce the
Board to intervene, and that he insisted on putting into
the letter and on the records the statement that no
Party to the controversy had asked or approached the Board
to induce it to intervene; that from Gov. Meyer's manner
he felt that this addition was most displeasing to him
but that he did not dare to object to it.
Miller said Gov° Mayer was beaten horse, foot, and dragoon.
Sept. 1, 1932. 103, 104.

89.

Miller said Gov.Ileyr once told him that he never got
anything because people liked him, but only because they
feared him.
Sept. 1, 1902. 104, 105.

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Federal Reserve Bank of St. Louis

172.

Meyer, Gov. (Contld.)
90. Miller said that while Gov. Meyer did not wL:nt to be
dominated by Fe eral Re-rve Bank, N. Y., yet he always
seemed to want to please it and to avoid offending it.
Sept. 1, 1932. 105.
91.

Miller said tht Ogden Mills domination c) Gov. Meyer and
Irederal Reserve Bank of New York showed cleaAy that
the Secretary of the Treasury should be taken off the
Board.
Sept. 1, 1932. 105.

92.

Gov. Meyer was at his home in Westchester County all last
weak.
Sept. 4, 1932. 106.

93.

McClelland telephoned that Gov. Meyer went back yesterday
to Westchester to be gone all of next week.
Sept. 9, 1932. 109.

94.

Gov.Mey,r left last Thursday, Sept. 8, to be gone all this
week.
Sept. 12, 1932. 110.

95.

Castle to Gov. Meyer addressed "Esquire", dated Sept. 7, 1932.
Sept. 12, 1932. 110.

96.

Miller repeated his statement as to Hoover and Gov. Meyer
(See supra 73).
Miller said Hoover said, "Gov. Meyer can't and won't do
it;
I must do it; what can the Board do without a leaden"
Sept. 13, 1932. 111.

97. Miller said Gov. Meyer ame into the office of Governor with
the feeling that he was a kind of Prime Minister- far
above Ogden iills; that he regarded himself as the
banking and financial leader of the country; that it
would be only a question of time before he and rloover
would fall out; that he knew that in fact the falling out
had taken place some time ago.
Sept. 13, 1932. 111, 112.

98. M ller said Gov. Meyer came down for a day last
weak; that
he loakei tired and sick; that he - Miller- then decided
to postpone his trip to California.
Sept. 12, 1932. 112.
99. Miller and C.S.H. agree that Gov. Meyer is begin_l
ing to
realize that he has failed to make good as Governor;
that conditions, until recently, had grown worse (lay
by
day; that Gov. Meyer had no -plicies, yet objected to
those
sugzested by others, some times only to seize
them later

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Federal Reserve Bank of St. Louis

173.

Meyer, Gov. (Conttd.)
99. (Codtd.)
and parade theu as his own, e.g. the Cotton Loan
Corporation, the easy money policy, etc.
Sept. 13, 1932. 112.
100.

C.S.H. feels that Gov. Meyer is glad to remain away at his
Westchester house Where, over his private telephone
wire, he can keep in touch with the Federal Reserve Bank
of New York which, C.S.H. believes, is dominating him.
Sept. 13, 1932. 112, 113.

101. James said he had asked Gov. Meyer who said he knew nothing
about Gov. Nom ails visit.
Sept. 15, 1932. 114.
102.

Gov. Meyer came to Washington yesterday.
Sept. 19, 1932. 115.

103.

Gov. Meyer lunches with the Federal Advisory Council.
No other Board member was invited.
Sept. 20, 1932. 115.

104.

Castle writes Gov. Meyer, address liEsquiren. Letter dated
Sept. 17, 1932.
Sept. 20, 1932. 116.

105.

Gov. Meyer is to return to Washington tomorrow, Thursday.
He was away early part of the week.
Sept. 21, 1932. 116.

106.

Gov. Meyer is to be away all of this week.
Set. 27, 1932. Tueday. 118.

107. Ployalgarrison said Gov. Meyer did not approve of proposed
trip abroad of Burgess from F.R. Bank of N.Y.
Sept. 28,1932. 120.
106.

Gov. Moyer was away all last week and will not be here
this week, as Floyd Harrison says he will stay in N.Y.
Oct. 4, 1932. 122.

109.

Gov. Meyer is evidently manacinv Board matters in New York
in conjunction with the Federal Reserve Bank of New York.
The Federal Recerve Board has almost disappeared under Gov.
Meyer's leadership'
Oct. 4, 1932. 122.

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Federal Reserve Bank of St. Louis

174.

Meyer,Gov.(Contld.)
•

110. Floyd Harrison had not recorded Gov. Meyerls absent vote
on application for trust po..ers of Continental
Illinois Bank & Trust Co., so the vote was merely that
of executive Cam:uittee, James voting :Not also Magee.
Oct. 6, 1932. 129.
111.

Gov. Meyer has been away all this week.
Oct. 8, 1932, Saturday. 134.

112.

In the matter of reference to gold sitution during
the year to be inserted in October Bulletin, Gov. Meyer
had directed Goldenweiser to prepare a net draft
differing from his first draft.
C.S.H. told Goldenweis-r we should do nothing which would
subject Board to the charge of trying to bolster up
Hoover's references to danger of going off the gold
standard.
C.S.H. believes Goldenweiser told this to Gov. Meyer for
C.S.H. heard Gov. Meyer repeat same expression to
Burgess who had came down to help prepare the statement.
Oct. 11, 1932. 136, 138, 139.

113. Favored first salary reduction plan of Federal Reserve
Bank, New York.
Oct. 11, 1932. 140.
114. Brings up again gold report to be in Federal Reserve
Bulletin, Oct. 15.
Postpones meeting until afternoon.
Miller said it v,ould make the Bard ridiculous to act
as if pu1lin, irons out of the fire for same one.
Gov. Meyer asked for wham?
Miller did not answer.
Gov. Meyer finally said would be better to strike out all
reference to gold except for the last month and it
was so ordered.
C..).H. is convinced that Gov. Meyer wanted originally to
bolster up Hoover as to gold standard, but did not
dare to put it through in the face of Miller's and
C.S.H.Is objection.
Oct. 12, 1932. 141, 142, 143.

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Federal Reserve Bank of St. Louis

175.

Meyer, Gov. (Contld.)
115.

On second thought, C.S.H. believes that Gov. Meyer
was
ordered by same one (perhaps Hoover) to bolster
up
Hoover's gold standard statements and that he
tried,
but that at heart he was glad, because of his
anger
towards Hoover, that the attempt failed.
Oct. 12,1932. 144.

116.

Glass again attacks Hoover for gold standard state
ment
and quotes Gov. Meyer's testimony before Senate
Committee on May 15, 1932.
Oct. 13, 1932. 144.

117.

Wyatt said Gov. Meyer directed him not to compl
y ‘;ith
the request of Treasury for his opinion Yhether
the Trading with the Enemy Act, permitting control
of gold exports.was still in effect.
Oct. 13, 1932. 144.

118.

On Jan. 19, 1932, Gay. Meyer told Board that
Ogden Mills
and he wanted to tell Bank of France to remov
e all
of its deposits in Federal Reserve Bank, New York;
(See 20 Diary, p. 8).
C.S.H. said this could hardly be done except
by amending
the Federal Reserve Act.
Gov. Meyer said he favored an ameniment but that,
even
without it, it would be possible to get 50 or
more
banks to agree to rediscount, and this i%ould fill
up the L'Eq, caused by export of the deposits.
Oct. 14, 1932. 149, 150.

119. Gov. Meyer is in Washington.
Oct. 21, 1932. Friday. 152.
120. Hoover calls up Miller in absence of
Gov. Meyer.
Oct. 25, 1932. 155.
121. Interview of Board with DeCamp of Cleve
land twice
postponed because of Gov. Meyer's absence.
Floyd Harrison told C.S.H. that Gov. Meyer
- who was here
only two days last week - was in splendid healt
h
but did not want to go back to Washington
for the
DeCamp hearing tomorrow.
C.S.H. insisted on no further postponement wheth
er or not
Gov. Meyer could be present.
Oct. 25, 1932. 156.

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Federal Reserve Bank of St. Louis

176.

Meyer, Crov. (Contid.)
122. DeCamp hearing.
Gov. Meyer not present.
Oct. 26, 1932. 156.
123. Morrill said Gov. Meyer has closed his Westchester
house and has taken an apartment in New York City,
and will probably return to Washington tomorrow night.
Oct. 28, 1932. 157.
124. Wyatt said he had heard a rumor that Gov. Meyer will
resign if Roosevelt is elected.
Oct. 29, 1932. 158.
125.

Wyatt thought Gov. Meyer was distrustful of any Secretary
of Treasury appointed by Roosevelt, and that he also
feared that Roosevelt might revoke his desination
as Governor.
Oct. 29, 1932. 158.

126.

C.S.H. believes that it would be logical for Gov. Meyer
to resign, as he has always acted as if he believed
himself to be a Cabinet officer or even Prime Minister,
and, with Hoover, he has utterly ignored and shelved
the Board.
Oct. 29, 1932. 158.

127.

Gov. Meyer came back Saturday night, Oct. 29.
Oct. 31, 1932. 160.

128. Gov. Meyer's 57th birthday.
Born Oct. 31, 1875.
Oct. 31, 1932. 160.
129. Goes back to New York.
Nov. 3, 1932. 161.
130. About 2 weeks ago Gov. Meyer agreed with Dr. Miller that
Secretary of Treasury should be dropped from the
Pederal Reserle Board.
Nov. 14, 1932. 167.
131. Wyatt said Gov. Meyer told some one - C.S.H. does not
remember who - that he should not resign at least While
Hoover held office. He was silent an to after that.
Nov. 14, 1932. 168.
132. Took no position in Governors Conference a; to Glass bill.
Nov. 18, 1932. 17:2.

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Federal Reserve Bank of St. Louis

177.

Meyer, Gov. (Contld.)
133. Left the meeting when Board was discussing admission of
Manhattan Coqpiany and did not return.
Floyd Harrison said he had gone away for week end.
Miller was indignant and moved to adjourn until Monday
when Gov. Viey.:.r was to return.
Nov. 18, 193. 175.
134.

Wyatt said he had heard that Gov. Meyer had gone to a
foot ball match at Atlantic City.
Nov. 18, 1932. 176.

135.

C.S.H. feels Miller was justified in his indignation at
Gov. Meyer.
Gov. Meyer had to choose between business and foot ball
and udhesitatingly chose the latter.
Nov. 18, 1932. 177.

136. Delano asked C.S.H. as to Gov. Meyer and his abilit
ies.
C.S.H. said he was an able investment banker, nna with
great experience in lending money derived frbia his
work on various Government Boards, — the War Finance
Corporation, the Federal Farm Loan Board, the R.F.C. etc.
C.S.H. said his chief criticism was that Gov. Meyer
considered himself as a Cabinet officer having closes
t
relations with the President and Secretctry of the
Treasury, and lodkin,7 down on his colleagues as
subordinates; that under his administration the Board
had been camp1ete4 ignored, — e.g. the Glass—Steaga
ll
bill, the R.F.C. act, etc. etc.; that whether this
was the fault of Hoover or Gov. Meyer,
would
not undertake to say.
Nov. 19, 1932. 179.
137. Delano said he did not like Gov. Meyer's shifty
eyes,
and that he did not have a very good reputation
when in the investment business in New York.
C.S.H. is satisfied that Delano will not want to have
Roosevelt continue Gov. Meyer as Governor of the Board.
Nov. 10, 1932. 180.

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Federal Reserve Bank of St. Louis

178.

Meyr, Gov. (Contld.)
138. Delano aid. he had no doubt but that Gov. Young's transfer
to Boston and Platt's resiffiation had been engineered
by Hoover and Meyer; that Gov. Meyer once said to
him in the Metro:)olitan Club that, "We have taken
care of Platt", — referring to his office as Vice
President of the Midland Corporation.
Nov. 19, 1932. 180.
139.

Votes to admit Manhattan Co. on condition that it divest
itself of its stock ownership in 3 other banks \.ithin
6 months.
Nov. 21, 1932. 184.

140.

Wyatt said his o:inion as to powcr of unification of banking
by Congress originally gave an alternative, 1. To
force all commercial banks to join the Federal Reserve
System; 2. To force all such banks to nationali7e;
that Gov. Meyer insisted on his striking out 1; that
Floyd Harrison insisted that he quote Gov. Harrison's
testimony on necessity for unified banking as far back
as 1922.
Wyatt was much disturbed about this.
Nov. 22, 1932. 185.

141.

Votes to allow Federal reserve banks to work out salary
reductions, in first instance, at least, in their
own way subject to ap.,roval of Board.
Nov. 22, 1932. 189, 190.

142.

Gov. Meyer leaves Friday for a visit to Federal Reserve BaAc
at Atlanta, New Orleans, Dallas, Minneapolis,
Chicago and St. Louis.
Nov. 23, 1932. 190.

143. Left on his trip today.
Nov. 25, 1932. 191.
144.

Gov. Meyer dropped in to see C.S.H. in afternoon.
He seemed disturbed.
He asked
whether, on the whole, the Board members
were pleased at the working of the Federal Reserve
System.
C.S.H. did not reply directly but said the System had
born a terrible strain and tlet it was most fortunate
in escaping criticism from political sources.
Nov. 25, 1932. 191.

l',1

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Federal Reserve Bank of St. Louis

179.

Meyer, Gov. (Contid.)
145.

Gov. Meyer srid the Federal reserve offices were filled
with inferior men who should gradually be weeded out.
Nov. 25, 1932. 191.

146. Gov. Meyer said P.R. Agent Delierp was very wedk, and,
whatever the result of the Guardian Trust Co.
investigation, it might be well to reappoint him on
understanding that within say 3 months we might
make a change.
Nov. 25, 1932. 191, 192.
147.

Gov. Meyer said Federal Reserve Agent Stevie of Chicago
was not an especially strong man; that he had been
unloaded on us by his former bank; that one of his
bank officers so told him, — I think he said Mr. Lyall.
Nov. ,5, 1932. 192.

148. He said we should enact some regulation as to loans from
miaber banks by officers of F.R. Systaa, and not
begin by removing offenders right and left.
Nov. 25, 1932. 192.
149.

C.S.H. believes 3ov. Meyer intends to resign, as he must
know that Delano would be ap)osed to his continuing
Nov 25, 1932. 192.
as Governor.

150. Delano once told 0.6.H. that Gov. Meyer once tried to have
him dropped from the Smithsonian Institute because
of his opoosition to the son of Senator Lodge.
Nov. 25, 1932. 192.

Meyer, Mrs. Eugene
C.S.H. met, in the street. She said she came dma with
Gov. Meyer on the afternoon of July 4; that she
felt it to be her duty to stay with him, he was so
perplexed".
She said Nina Hoppin had called on her at Westchester and that
she had a goad talk with her and liked her.
July 6, 1932. 25.

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Federal Reserve Bank of St. Louis

180.

)4,ILLER.
Index.

Acceptance rates. 4.
Bank of America. 74, 75.
Borrowings.
By Federal reserve bank °Metals. 83, 84.
By Miller. 83.
Burgess. 66.
Business & Industrial Committees. 49, 57, 60.
Calkins, Gov. 74.
Campaign contributors to Hoover. 71.
Carey, Sen. 18.
Case, lverett. 57.
Concealment by Gov. Harrison. 61.
Continental Illinois Bank(% Trust Co. 68, 72.
Crisis of 1929. 15, 65.
Daiger. 65.
Democrats. 18.
Des Moines speech, Hoover. 87.
Discount rates. 4, 42.
Federal Reserve Bank, N. Y.
5, 40, 47.
Federal reserve bank officers, Borrowing. 83, 84.
Federal reserve banks. 22.
Federal reserve Board. 25, 47, 51, 74.
Federal Reserve Bulletin. 69, 70.
Federal reserve direct loan amendment.
17, 21, 22, 23, 25, 26, 28, 29, 30, 31, 32, 33, 34, 42.
(Pare 180-A follows)

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Federal Reserve Bank of St. Louis

180-A

Federal reserve notes. 30.
Garner. 31.
Gianini. 75.
Gianini-Walker fight. 74.
Glass. 16, 21, 25, 29, 30, 35.
Glass bill. 79.
Glass-Steagall bill. 87.
Gold standard. 69, 70, 71, 87.
Goldenweiser. 69, 70.
Government securities. 2.
Governors Opnference. 38.
Hamlin, C. S.
21, 28, 31, 33, 35, 39, 48, 77.
Harrison, Floyd. 13.
Harrison, Gov. 15, 38, 60, 87, 88.
Hoover, President
8, 15, 24, 25, 26, 28, 31, 32, 33, 36, 37, 44, 46, 49, 50,
53, 59, 70, 71, 73, 74, 76, 78, 87.
Illness.

67.

Jew. 51, 54.
Johnson, Sen. Hiram
Joirt Committee.

Con,-;ress. Glass bill. 79, 88.

Lane, Mrs. Frank. 72.
Manhattan Co. 81, 82.
Meyer, Gov. 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 16, 18, 19, 20, 23, 24,
27, 28,32, 37, 43, 46, 49, 50, 51, 52, 53, 54, 55, 56,
58, 62, 63, 64, 70, 73, 81.
Mills, Ogden
79, 87, 88.
(page 180-B follows)

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Federal Reserve Bank of St. Louis

Morrill. 13.
Non-member bank.

83,

84.

Norman, Gov. 46
Open market operations. 5.
Philippe, Under Secretary. 72.
Political liability, Meyer. 6.
Reconstruction Finance corporation. 6, 9, lb.
Reserve Comuittee report. 88.
Robinson, H.W. 78.
Rosenwald, J. 3.
Roosevelt. 1, 76.
Salary reduction. 40, 41, 80, 85, 86.
Share-the-work. 85, 86.
Swelled head, Meyer. 7.
Telephone, Private. Illeyer. 5.
Trade acceptances. 42.
Uniform discount rate.
Federal reserve direct loans. 42.
U.S. Chamber of Commerce. 47.
Usurpation of power. Hoover. 36.
Veto. 28, 32.
Vice Governor, Federal Reserve Board. 48.
Votes. 23, 34, 40, 41, 68, 72, 77, 80, 82.
Walker-Gianini fight. 74, 75.
Warburg, Paul. 51.
Washington Conference. 57.
Wheeler, Harry. 47.

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181

Miller, Adollath C.
1. Mr. & Mrs. visit Gov. & Mrs. Roosevelt.
June 12, 1932. 1.
2. At first seaaed in some doubt as to continuing purchases
of Government securities but finally offered no
objection.
June 15, 1932. 2..
3. Told C.6.H. that Julius Rosenwald left so many specific
legacies out of his 100 million estate that almost
nothing was left for his family.
June 20, 1932. 7.
4.

Agreed with 0.5.H. that acceptance :purchase rates should be
low:red in connection with reduction of discount rates.
June 23, 1932. 10.

5. Said that Peden-al Reserve Bank of New York should pay cost
of a private telephone wire between Federal Reserve
bank and Gov. Meyer's house at Mt. Kisco.
July 1, 1932. 17.
6.

Told C.S.H. there was great opposition to Gov. Meyer in
connection with the R.F.C.; that he was said to be
hard. boiled; that mazy complaints had been Lizzie to
Hoover; that Gov. Meyer was a political liability.
July 6, 1932. 22, 23.

7. Said many believe Gov. Meyer has a swelled head; that there
is growing dissatisfaction with him.
July 6, 1932. 23.
8.

Said he had a feeling that Hoover's faith in Gov. Meyer is
shaken; that he realizes that he has not male good;
that conditions were worse than When he went on the
Board.
July 6, 1932. 23.

9. Said there is a rumor that Gov. Meyer will soon be "relieved"
from his arduous duties on the R.F.C.l
July 6, 1932. 23.
10. Said Gov. Meyer's mannemat Board meetings have been
almost unbearable, but that lately he has seemed
almost stunned and greatly worried.
July 6, 1932. 23.

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Federal Reserve Bank of St. Louis

182.

Miller, Adolph C. (Cont'd.)
11. Miller thinks Gov. Meyer realizes he has not made good
and thinks it likely he may have financial . orries,
that he may IL,ve bou:,ht he,Ivily after the crash of
1929, expecting a speedy rise in va:_ues, and that
he may have been caught in the cif-cline.
July 6, 1932. 23, 24.
12.

Miller says that putting in the private tele2hone wire between
the Federal Reserve Bank of New York and his
Mt. Kisco house was an example of "swelled head".
July 6, 193P. 24.

13.

Allier and C.S.H. agree that Gov. Moyer has practically )ut
the Board out of com.,ission by arrogating to himself
and Floyd Harrison
Morrill complete domination, and
that through Harrison Lnd Morrill he has been able to
give most of his time to the R.F.C.
July 6, 1932. 24.

14. Miller and C.S.H. feel that matters would have gone much
better had not Gov. Meyer objected to a conference in
Washington to prepare plans for the Business and
Industrial Committees.
July 6, 1932. 24.
15. Miller said Hoover seaaed to place great reliance on Gov.
Harrison and had asked him whether he was not abler than
Gov. Meyer; that he said No there was no comparison;
that Gov. Meyer was ter abler; that Gov. Harrison had
failed to control the banks during the speculative craze
of 1929.
July 6, 1932. 24, 25.
16.

Miller said Gov. Meyer told him that Glass was going to
attack him in connection with the R.Y.C. and asked
him to influence Glass not to do so; that Miller said he
never went to Glass unless sent for, — that it would be
useless.
July 6, 1932. 25.

17.

C.S.H. explained his draft of F.R. direct discount amendment
to Miller Who at first seemed in much doubt about it.
July 7, 1932. 28.

18.

Miller said Sen. Carey said there was much op)osition to
Gov. Meyer because so many democrats had been
appointed in R.F.C.
July 11, 1932. 30.

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Federal Reserve Bank of St. Louis

183.

Miller, Adolph C. (Contld.)
19.

Miller said Gov. Meyer felt ho was the dominating
influence
on the Board; that he felt he was in effect a
Cabinet
officer and that his a .sociates were subordinle.
July 11, 1932. 30.

20.

Miller said Gov. Meyer wanted to dominate just as
did
J. P. Morgan, but that at the same time a Certain
timidity and fear of Board op)osition as was shown
by
his acceptance of See. 3 of Glass bill, to which
he
was really on)osed.
July 11, 1932. 30.

21.

Tells C.S.H., without expressing any opini)n on
the merits,
that there was no reason why he should not prepa
re and
send to Glass the Federal res,?.rve direct disco
unt
amendment.
July 9, 1932. 236 - 33.

22.

Miller said that in norual times he might favo
r the
amendment as helping to make Fed.-ral reser
ve policy
effective, but he feared in these times it might
cause
a rush on the Federal reserve banks.
July 12, 1932. 33 (2)

23.

Votes to direct Gov. Meyer to protest to Hoove
r against
Federal reserve direct discount amendment.
July 12, 1932. 33 (2).

24.

Gov. Meyer induced Miller to c;111 up Hoove
r.
July 12, 1932. 33 (2).

25.

At 1 p.m.
came into 0.S.H.Is office and said he ha.
talked with Hoover; that he seemed very tired
, and said
the Board should communicate with Glass. This
was all
Miller s _id at that time of his conversati
on with Hoover.
Miller repeated as above that in norma
l times he m1.ght
favor the amendment; that C.S.H. should call
up Glass
and tell him ho'.; the Board felt about it.
C.S.H., in Miller's presence, called up Glass
0..H. repeated to Miller what Glass said
- that he assumed
all responsibility for the amendment.
C.S.H. reminded .4iller that he told him
on Saturday he
saw no objection to his drawing and sendi
ng to Glass the
amendment.

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Federal Reserve Bank of St. Louis

184.

Miller, Adollth C. (Contld.)
25. (Contld.)
Miller said this was true and every mmb
er had a right
to talk confidentially with any Sena
tor, especially
with Glass, but that it was unfortun
ate that this
particular talk:had resulted as it had.
Miller then talked with llass over
the telephone stating
his doubts, but Glass had evidentl
y made up his mind
that the amendment was wise and said
he should press it.
Miller pointed out that these loin
s would be dol_ar for
dollar and might impair the lawful rese
rves of Federal
reser- e banks, while loans to memb
er banks would merely
require a reserve against them
.
Glass apparently said the amendman
t would do more good
than pouring money into the open mark
et for purchase of
Government securities.
July 12, 1932. 33 (3).
26.

27.

Miller told C.S.H. that when he talk
ed with Hoover he said he
knew all about the amendment.
July 12, 1932. 34.
Gov. Meyer said he regretted that memb
ers should draw amendments for Congressmen, althou_h he
knew that Miller often
had done so.
C.b.H. said hiller told him there
was no objection to sending
the amendment.
July 12, 1932. 35.

28. Later hiller came into C.S.
H.'s office and said Gov. Meyer
had had a half hour's talk with
him over the telephone,
as to whether he - Gov. Meyershould advise Hoover to
veto the bill because of the amen
dment.
Miller said he told him that he
had studied it carefully;
that it was well drawn and copp
er riveted; that in normal
times he would favor it; that
in them - times, while it
mig:ht do good, it might do harm
, but that he certainly
should not advise Hoover to veto
it.
July 13, 1932. 35.

29. While we were talkinc;, Glass
called up and said the
administ

ration had decided to favor the
amendment.
July 13, 1932. 35.

See - Federal reserve dire
ct discounts.

185.

Miller, Adolph C. (Contld.)
30.

Glass told Miller he saw no reason vihy these direct
notes should not be eligible as collateral for
Federal reserve notes. (O.S.H.'s draft forbad this.)
Miller agreed and suggested omitting the negative clause.
July 13, 1932. 35.

31. Miller tol1C.S.H. that the amendment furnished a bridge over
which Garner and Hoover both could save their faces.
July 13, 1932. 35 (2)
32. Miller and Gov. Meyer now feel very foolish over their
original attitude towards the amendment, the former
having practically asked Hoover to veto it, but now
he has changed his mind.
July 13,1932. 36.
33.

Miller again spoke of his talk with Hoover as to the Federal
reserve direct discount amendment.
He said Hoover asked if any Board member had anything to
uo with the amendment; that he replied vaguely but
affirmatively without giving any name; that Hoover
then asked directly who it was;that Miller demurred at
answering; that Hoover daid he ht.d a right to know;
that Hoover then asked if it was a.certain member — not
C.S.H.; that he did not mention C.S.H.'s name.
July 14, 1932. 40.

34.

Objects to direct loans to individuals under the Glass
amendment and says should be restricted to pap er owned
by individuals, which =mid exclude notes given direct
to the Federal reserve bank.
He did not deny the legality of such direct loans, but
thought there might be some doubt and that the question
should be held open for the present.
July 26, 1932. 52.
Miller moved to exclude direct loans, i.e. notes given
direct to Federal reserve banks, but he was voted down.
July 26, 1932. 53.

35.

ft'

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Federal Reserve Bank of St. Louis

Glass told 0.6.11: he was sorry that Miller had been oposed
to his ,Imendment, but he knew O.S.H. favored it and
he placed more reliance on C.S.H.Is jude ment than an
Miller's.
July 28, 1932. 64.

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Federal Reserve Bank of St. Louis

166.

Miller, Adolph C. (Contld.)
36. Miller reminded C.S.H. of Hoover's letter read to Board
by Gov. Meyer on July 26, and said that his action
in practically ordering the Board to declare an
emergency under the Glass amendment, was the most
offensive assumption of executive authority in the
history of the Board.
July 28, 1932. 65.
37. He also reminded C..H. that Gov. Meyer read Hoover's letter
in a low mumbling voice as if he hoped the Board would
not quite comprehend it.
C.S.H. remembers he could not hear it distinctly, and
comprehendf'd it only after demanding and obtaining a copy.
July 28, 1932. 65.
38. Miller said Gov. Harrison told him that the Governors Conference
took up salary cuts and that all were opposed except himself;
that he had held up salary cuts until he could consult
with the Governor.
July 28, 1932. 65.
39.

Told C.S.H. he would have asked him to a sup:?er were he to
be here Saturday.
July 29, 1932. 67.

40.

Voted to approve proposed salary cut by Federal Reserve
Bank,ew York. All others voted No.
July 29, 1932.67.

41.

Voted same as to salary cut of Federal Reserve Bank, Richmond.
July 29, 1932. 67.

42.

Claims that rates on Federal reserve direct discounts should
be uniform at 66 at all Federal reserve bankr, and that
trade acce2tances should take regular discount rates.
A1.1.. 24 1932. 92, 93.

43.

Miller told Board that Governor Lauk; was tired out and he
had advised him to remain away for a week at least; that
he had postponed California trip for a month.
Aug. 24, 1932. 98.

44.

Miller read a letter from Hoover enclosing a complaint from
a Pennsylvania correspondent at having his mortgage
called, which Hoover asked the Board to imestigate; that
Hoover wrote that he sent it to Miller, as in Gov. Meyer's
absence he did not know to whom to writel
Au. 24, 1932. 98.

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Federal Reserve Bank of St. Louis

187.

Miller, Adolph C. (Contsd.)
45.

Miller said he was

to Hoover's camp on Sunday.
Sept. 1, 1932. 100.

to go

46. Said Gov. Meyer told him he had been invited by Gov. Harrison
to dinner to meet Gov. Norman; that he advised him not
to accept; that later Gov. Meyer telephoned him he would
Sept. 1, 1932. 100.
not accept.
47.

Told C.S.H. that Harry Wheeler, Wilson's first appointee on
Board — Who then declined,. would now like to be appointed;
that his bara had been merged and he was out of a
position.
C.S.H. said it would be a good appointment.
Miller said he was a U.S. Chamber of Commerce man, and did
not seen to favor him.
C.S.H. tad Miller he was the only prominent banker
who had publicly backed up the Board in its opnosition
to the 6"; rate favored by Federal Reserve Bank, New York —
sending in a forcible telegram.
Miller said he was very vacillating and liable to change his
mind over night.
Sept. 1, 1937. 101.

48.

C.S.H. told Miller Hoover should long. ago have designated a
'
Vice Governor, but Maier thought this unnecessary.
Sept. 1, 1932. 101.

49.

Miller said he was satisfied that Gov. Meyer was "out" with
Hoover; that when he told Hoov-r of necessity for
calling a Washington Conference to prepare a plan for
the Federal reserve distmdet comittees, and told Hoover
the Board should put this through, Hoover said that
Gov. Meyer would be of no help; that he knew him as well
as did Millsr; that it was useless to expect help from
Gov. Meyer; that he, Hoover, must put it through outside
of the Boardt
Sept. 1, 1932. 101, 102.

50.

Miller said he believed that Gov. Meyer had "oversold" himself
to Hoover; that he in all probability had run down the
Board members to Hoover, and had made extreme statements
or boasts as to What he would do if -out on the Board and
made Governor, with a waive of his magic wand; that
conditions, however, (Ind steadily grown worse and that
Hoover had lost faith in 7:701/. Meyer.
Sept. 1, 1932. 102.

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Federal Reserve Bank of St. Louis

188.

Miller, A. C. (Contld.)
51.

Miller said that Gov. Meyer for many years had wanted
to be on the Board a Governor; that he told him he
would have been anointed in 1923 but for Warburg's
opoosition.
Miller said Warburg was a Jew of higher caste ana looked
down on Gov. Meyer.
Sept. 1, 1932. 102.

52.

53.

Miller said he thought Gov. Meyer was beginning to realize
that, after all, the other Board members were honest,
intelligent, and on the whole, able men.

ller said Gov. Mey,nr was full of egotism, conceit, and
a perfect "rough neck"; that he considered a modest,
euiet, man a weak man.
Sept. 1, 1932. 102, 103.

feels the r.5alization that Hoover feels he had not
made good, has rather turned him towards the Board.
Sept. 1, 1932. 103.
54.

Speaking of Gov. Meyer, :Haler said the only way to treat
a Jew is to kick him in the ttamadh, as only fear will
make him decent in manner.
Sept. 1, 1932. 103.

55.

Miller said Gov. Meyer tried his rough neck methods when he
persuaded the Board to ask Gov. Oaldms to intervene in
the Walker-Gianini fight for proxies in the Bank of
America fight; that Gov. Meyer was beaten horse, foot, and
dragoon; that Gianini could get all the money he wanted
from the R.F.C. under threat of revealing the Board
correspondence, which would seriously injure Gov. Meyer
and perhaps the whole Board.
Sept. 1, 1932. 104.
See - M.eyer, Gov.

56.

Miller said Gov. Meyer once said to him that he never got
anything because peole liked him, but only because
people feared him.
Sept. 1, 1932. 104, 105.

57. ;diner said young Case - wham the Board turned down for
a position um,er Federal Reserve Bank, New York, has
got a job under the Washington Conference of Business
and Industrial Committees.
Sept. 1, 1932. 105.

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Federal Reserve Bank of St. Louis

189.

Miller,

C. (Contld.)

58. Miller said that while Gov. Meyer did not appear to
want to be daninated by Federal Reserve Bank of
New York, yet that he always went out of his vvy to
please itl
Sept. 1, 1932. 10„).
59. Miller goes to Hoover's summer aimp.
Sept. 1, 1932. 107.
60.

Miller pointed out
Conference ke7ot
Federal Reserve
he had Hoover's

that Gov. Harrison at the Governors
silent on the question of appointing
district committees altho at that time
ord,r to form one in New York.
Sept. 7, 1932. 109.
See - Harrison, Gov.

61. .4iller said that when he explained to Hoover the nece sity
for a Washington Conference, Aoover said, "Coy. Meyer
can't and won't do itl What can the Board do when it
has no le;tdertn
Sept. 13, 1932. 111
62.

Miller said Gov. Meyer took office regarding himself as a
Prime Minister, far above Ogden Mills, and as the banking
and financial leader of the country; that he predicted it
would only be a short time before Hoover and he would fall
out; that he now knew that this falling out had taken
place some time ago.
Sept. 13, 1932. 111, 112.

63.

Miller said Gov. Meyer came down for a day last week, and
that he - Liiller - had postponed his California trip.
Sept.13, 1932. 112.

64.

We both agreed that Gov. Meyer is beginning to realize that
he has failed as Governor, - that conditions have steadily
grown -Aorse day by day; that Goy. Meyer had no policies
and objected to suggestions of other members, only later
to announce them as his own.
Sept. 13, 1932. 112.

65. Daigerss article answering charge of Kenworthy of politics
in Federal Reserve System is well done except that it
aggrandizes Milleras a central figure in Federal reserve
policies, especially his claim that the Fedral Reserve
System was responsible for the inflation of 1927, 1928 and
1929.
Sept. 27,1932. 119.

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Federal Reserve Bank of St. Louis

190.

•

Miller, a. C. (Contld.)
66. Did not favor Burgess going abroad to attend the preliminary
Economic Conference.
Sept. 28, 1932. 120.
67. Miller has been quite ill for 2 reeks.
Oct. 4, 1932. 122.
68.

Was absent when Board permitted Continental Illinois Bank
&Trust Company to exercise trust powers, but approved
over telephone.
Oct. 6, 1932. 129, 130.

69.

Complained that he had received Goldpnweiserls -)roposed draft
of Federal Reserve Bulletin -giving a review of gold
movements only 1/2 hour before the meeting.
Oct. 12, 1932. 141.

70.

Miller op ,osed Goldenweiser's final gold draft for Federal
Reserve Bulletin saying it would make the Board look
as if it were trying to pull somebody's iron out of
the fires (Meaning Hoover)
Gov. Meyer asked whose iron, but Miller did not answer him.
Oct. 12, 1932. 142.

71. Miller said that Hoover's reference to danger of going off
the gold standard in his Des Moines speech, had killed
him with all bankers; that he kne' one, formerly a
large contributor, who refused -to contribute a dollar
because of this s2eech; that it was one of the most
grievous mistakes ever made by any Presidential
candidate.
Oct. 12, 1932. 143, 144.
72.

Voted over telephone to give trust power to Continental
Illinois Bank& Trust Co . of Chicago.
Oct. 13, 1932. 146.

73. Mrs. Newlands said that Dr. Miller raised a fund of $100,000
for Mrs. Lane after Sec. Lane's death; that William
Phillipp and others subscribed to it.
Oct. 18, 1932. 151.
74.

Tells Board that Hoover called him up, in absence of Gov.
Meyer, and asked for the correspondence between the
Board and Gov. CalAns, with regard to the Gianini—
Walker fight for Bank of Arerica proxies.
Oct. 25, 1932. 155.

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Federal Reserve Bank of St. Louis

191.

Miller, A. C. (Contld.)
75. Said he had heard that Sen. Hiram Johnson and Gianini Yld
joined to attack Hoover as to the Bank of America
proxy fight.
Oct. 27, 1932. 157.
76. Rachel Hale told C.S.H. that Ellen Leonard told her that
Mary Miller told her that Adolph told Hoover he
should vote for Roosevelt.
Oat. 30, 1932. 159.
77. Miller told 0..H. that to vote by mail in California
one must register and that he had not registered1
Oct. 30, 1932.159:
. 78.

Miller said Henry W. Robinson had just told him that he
was certain that Hoover would be elected, etc. etc.
See — Robinson, H.W.
Nov. 4, 1932. 162.

79. C..H. and Miller oppose Mills' plan for a joint Congressional
Committee to consider banking —form as really a
scheme to shelve the Glass bill.
Nov. 18, 1932. 171.
80. Points out that he has voted for each salary reduction plan
presented to Board.
Nov. 18, 1932. 172.
81. Miller was very angry and rightly so because Gov. Meyer
left the hearing on the Manhattan Company to co off
for a week—end.
Nov. 18, 1932. 177.
82.

Votes to admit Manhattan Co.
Nov. 21, 1932. 184.

83.

During a discussion in Board as to borrowings from Banks
by Federal reserve officers, itiller stated that he had
twice borrowed from a nonmember bank for a few days,
putting up Government bonds as collateral.
Nov. 23, 1932. 188.

84. Later, Miller seemed inclined to the view that no Federal
reserve officer s.ould ever borrow from any bank,
member or ,on—member.
Nov. 23, 1932. 188.

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Federal Reserve Bank of St. Louis

192.

A.. C. (Contid.)
85.

Miler admitted that salary reductions to share work might
lead to a policy of sharing all incomes.
Nov. 23, 1932. 189.

86.

Votes in favor of allowing each Federal res, rve bank to
fix its own plan of salary reduction, with:out my
uniform plan.
Nov. 23, 1932. 189, 190.

87.

Said he had haa a long talk with Hoover who told him he had
had a conference t White House on evening of
Feb. 9, - the day before the breakfast conference at
which Glass-Steagall bill was agreed up)n; that Ogden
Hills and Gov. Harrison were there; that he had a
memo:andum of the conference which was his :iuthority
for the statement that the Secretary of the Treasury
told him we were Iiithin 2 weeks, at one time, of being,
forced off the rold standard.
Miller said Hoover did not say w:lo prepared the memorandum.
Nov. 26, 1932. 193.

88. :Liller said Hoover asked if banking :!‘eform was not now the
greatest issue, and that he replied, Yes.
.4i11er thinks Hoover will recommend a Joint Committee of
Congress to consider banking refomm.
Nov. 26, 1932. 193.
89. Hiller said Hoover had a copy of the report of Committee on
branch banks, presumably given him by Oden
Nov. 26, 1932. 193.

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Federal Reserve Bank of St. Louis

193.
LILLS.
Index.

Annual report. 28, 31.
Attorney General. 25.
Bank of France. 27.
Banking legislation. 28.
Ballantine, Under Secretary. 9, 14.
Branch bank report. 31.
Burgess. 24.
Business & Industrial Committees. 19.
Conferences. 16, 20, 24, 28.
Credit restriction. 11.
Daiger. 26.
Des Moines speech, Hoover. 26.
Domination. 22
Economic Conference. 24.
Emergency relief bill. 6
Ex-officio medb r. 22.
Federal Advisory Council. 30.
Federal Reserve Bank, New York
13, 15, 17, 18, 22.
Federal Reserve Bank, Richmond. 17, 18.
Federal Reserve Board. 22, 31.
Federal reserve direct loan amendment.
7, 9, 10, 11, 12, 14, 15.
Glass. 7, 10.
Glass bill. 28, 30.
Gold. 27.
(Page 193-A follows)

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Federal Reserve Bank of St. Louis

193—A

Gold standard. 26.
Government securities. 8.
Governors Conference. 8, 28.
Hamlin, C.S. 13, 14.
Harrison, Floyd. 1, 15, 16, 21, 26, 28, 29, 30.
Harvard University. LL.D. 2, 3.
Hoover, President.
5, 6, 7, 10, 15, 16,20, 28.
Joint Committee, Congress.

Glass bill. 28, 31.

LL.D.
Harvard. 2.
Meyer, Gov.
5, 7, 10, 16, 18, 19, 22, 23, 25, 27.
Miller, Dr. 22, 31.
Norman, Gov. 21.
Open market policy. 8.
Roosevelt. 4.
Salary reduction, N.Y. 13.
Southern Pacific R.R. Co. 11.
Spsech, Boston. 4
Trading with Enemy Act. 25.
Votes. 17.
Washington Conference. 20.
Wyatt. 23.
Young, Owen D. 15, 16, 20.

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Federal Reserve Bank of St. Louis

194.

hills, Ogden, Secretary o' Treasury.
1.

Floyd Harrison saw Gov. Harrison miming out of office of,
yesterday.
Gov. Harrison kept away from the Board.
June 20, 1932. 7.

2. Harvard University gives degree of L.L.D. to..
C.S.H. feels this was not right; that while, is an able man
he is holding a political position, and c;Ime on to
Cambridge fresh from the Republican National Convention,
where he )ut throve' a deceptive, insincere prohibition
plank.
June 23, 1932. 12.
3.

O.S.H. feels Harvard should be called the Harvard Re-Alblican
University!
June 23, 192. 13.

4. Speaks in Boston.
Attacks Roosevelt
Attacks Democratic party - fiat money.
June 11, 1932. 31.
5.

Hoover asks authority from Oonzyess to drop Gov. Meyer from
R.F.O. but to retain Mills an it.
July 12, 1932. 31.

6. Morrill said he was at the White House all uay Monday and
heard Mills dictate a eta ement for Hoover to sign
on the relief bill.
July 12, 1932. 34.
7.

Glass tells O.8•H. t at Hoover ha:'_ a conference this a.m.
at which Mills et al were present and that it
was agreed to support his direct loan amendment;
that ijl1s and Gov. Meyer had just come down to see
him andtold him all of above.
July 13, 1932. 35.

Tells Governors Conference that it would be disastrous to
stop purchases of Government sr- curities now.
July 13, 1932. 41.

O.S.H. heard today that when hills returned to Washington
he negatived the work of Under-Secretary Ballantine
to defeat the Glass direct loan ameniment and indorse' it.
July 13, 1932. 41 (2)

10.

Mills and Gov. Meyer, in goinc to Glass and approvin the
Glass amendment, went directly contra to vote of
Board to protest ag-inFt it to Hoover.
July 13, 1932. 43.

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Federal Reserve Bank of St. Louis

195.

Mills, Ogden, Secretary of Treasury (Cont d.)
11.

Mills said he was indignant at charge that he %VD uld do all
he could to prevmt action under the Glass EimendLient.
Said that a survey by S3uth Yacific R.R. showea many cases
of refused credit.
July 19, 1932. 44.

12. Favors direct notes to Federal r :;rve banks by borrowers
under Glass zimendment.
July 26, 1932. 52.
13.

0.6.H. talks with Mills as to proposed salary reduction by
Federal Reserve Bank, New York.
Mills said he was opposed but that C.S.H. letter was too
argmentative; that the Board should sim_ly dist:.1):?rove
it, or at least lay it on the table.
July 26, 1932. 54, 55, 56.
See — Salary reduction.

14.

C.S.H. e:cplained to Mills the history of the Glass aluendment
and of Ballantinels aaoosition and said he predicted
to Miller that when iills returned he would f ,vor the
amenkiment.
Mills sai. that Hoover, in the beginning, haa been very
badly aavised as to it.
July 26, 1932. 56.

15.

Owen D. Young told C.6.H. that he was at the Federal Reserve
Bank of New York with Ogden iilis and Gov. Harrison
When they first heard of the Glass amendment; that
Gov. Harrison said it was right on principle but this
was a most inop?-rtune time to press it; that he,
howevt-r, said he was delighted rith it; that finally
Mills telephoned Hoover that it was all right and should
be passed.
July 28, 1932. 60, 61.

16.

Gov. Meyer is holuing a conference with Mills, Gov. Harrison
and Owen D. Young but for what ,juroose no Board member
knows.
July 28, 1932. 63.

17.

Votes to disapprove proposed salary redaction by Federal
Re: erve Bank of New York and Federal Reserve Baia
of Richmond.
July 29, 1932. 67.

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Federal Reserve Bank of St. Louis

Mills, Ogden,Secretary of Treasury (Contld.)
18.

Gov. Meyer softened the letter of disapproval, although
Mills favored sLanly "disapproved".
Auc. 2, 1932. 69.

19.

Chairmen of Business & Industrial Committees met all day in
the Board roam with -.11s and Gov. Meyer. No other
members invited&
Aug. 25, 1932. 94.

20.

Gov. Meyer said the conferenca of above Chairmen .'as
engineered by Hoover,
L1s & Owen D. Young.
Aug. 26, 1932. 95.

21.

The pa,)ers are full of the conference in New ::ork between
aov. Norman, Gov. Harrison and Mills.
Aug. 31, 1932. 98.

22.

Miller said that Mills domination of Gov. Meyer and Fed. ral
Reserve Bank of New York demonstrated that the
Secretary of the Treasury should not be an ex-officio
member of Federal Reserve Board.
Sept. 1, 1932. 105.

23.

Miller said Gov. Meyer regarded himself as a kind of Prime
Minister, far above Ogden Lills.
Sept. 13, 193-2. 111.

24.

Wanted very much to have Burgess sent over to preliminary
meeting of the Economic Conference.
Set. 28, 1932. 120.

25.

Wyatt said Mills asked him for an oAnion whether the Trading
with the Snemy Act, authorizing control of gold exports
was still in force; that Gov. Meyer told him not to
give it; that later the Attorney aeneral of the U.S. said
it was still in force.
Oct. 13, 1932. 144.

26. Daiger tells C.S.H. th.t Mills and Gov. Harrison yere the
authorities on which Hoover said in Des lloines sneech
tlat e were once within 2 weeks of going off the -old
standard.
Oct. 14, 1932. 147.
27.

On Jan. 19, 1932, Gov. Meyer told Board that he and Mills
wanted to tell the Bank of France to withdraw its deposits
at once and to furnish U.S. Vessels to send the i-old over
more quickly.
Oct. 14, 1932. 149.

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Federal Reserve Bank of St. Louis

Mills, Ogden (Contli.)
28.

Tells Board he shall r-,commend in his annual renort the
appointment of a joint committee of ConL;ress to
inquire into all necessary banking legislation, evidently
with a vie:, to shelvintf the Glass bill.
Nov. 18, 1932. 170.

29.

Gov. Harrison, evid(mtly prompted by
mae same
reoanmendation to .7overnors
1
Conference.
Nov. 18, 191,2. 170, 171.

30.

Federal Advisory Council met but made no recommen-ations as
to Glass banking bill.
C.S.H. believes but can not prove that 2ii.ls and Harrison
exerted pressure on than to say nothing in hopes the bill
will be shelved.
Nov. 18, 1932. 174.

31.

Mills told Board he should recommend a oint committee of
Congres to consider banking legislation and asked if he
could quote from the branch bank re -port.
Board said No, it was still subject to revision.
Nov. 22, 1932. 186.

62.

Miller said Hoover had a coy of the branch bank.ing report
evidently furnished him by
Nov. 26, 1932. 193.
See - Secretary of Treasury.

Minutes of Federal Reserve Board meeting.
0..H. had minutes of July 12 corrected as to his aa:ount of the
Glass amendment.
Aug. 1, 1932. 68.
Moore,'
,II's. Ballard (Olyve 77raef)
(:alls on and mnets Admiral ;And Mrs. Bristol.
Sept. 29, 1932. 121.
:organ, J. P.
Gov. Meyer is of same dominating rlisnosition as.
July 10, 1932. 30.
Morgan Library
15, 16.
See - Auld Lang Syne.

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Federal Reserve Bank of St. Louis

198.

Lo rrill
Gov. Meyer seeks to dominate Board thmuc)1 Floyd Hal. .icon and.
July 6, 1932. 24.
Says Gov. Meyer shows the strain he is uni-r.
July 6, 1932. 26.
Says Gov.Meyer is not well, is worn out, and is on a strict aiet;
that his ilysician was stayin,7 with him at nis house.
He said Gov. Meyer had asked Hoover to releaFe him from the
R.F.C.
July 12, 1932. 32.
Said he was at White House all day Monday and qeard
dictate a statement as to the relief bill for Hoover to sin.
July 12, 1932, 34.
Asked Glass if he intended by his amendment to permit borrowers
to :We notes direct to the Federal re erve bank, ana
Glass said Yes.
July 14, 1932. 39.
Galled attention Of Unde Secretary Ballantine to the Ilass
amenament who tried to defeat it.
July 14, 19:. 41 (2)
Tells 3..H. the ziaendlaent as to national bank notes was first
put in by G]ass as an amendment to bill to stabilize prices
as passed hy H.R.; that later, Borah put it in as a rider
to the Home Loan Bank bill, altho utterly foreis-n to it
and it was nassed.
July 22, 1932. 48.
He said Glass introduced it merely to defeat the price stabilization
bill, which bill finally died.
July 22, 1932. 48.
He said the Comptroller asked Hoover to veto the Home Loan Bank
bill because of this amendment.
July 22, 1932. 48.
Helped C.S.H. prepare a letter objecting to sal r: reductions
of Federal Re. erve Bank, New York.
July 25, 1932. 51.
Is nre-)aring a re-ay to Hoover's letter orderin the Boa -d
to declare an amer:ency under Glass direct loan amendment.
July 26, 1932. 54.

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Federal Reserve Bank of St. Louis

199.

Morrill (Contld.)
C.S.H. dined at CO3MOS Club with Wyatt and.
July 26, 1932. 57.
Gov. Harrison told, that he might revise the salary reduction
plan, as to the furlouc;h provision, Lorri11 thinks.
July 28, 1932. 63. .
C.S.H. dines with Flo:d Harrison •cni
at Cosnlos Club.
Aug. 15, 1932.84.
0..H. dines at Comaos Club with ,
;harles Warren and.
Aug. 25, 1932. 94.
Tells C.!-- .).H. that James -aid the deb gation to WashinAon
Conference were very angry because they could not discuss
practical questions.
Aug. 31, 1932. 97.
See - James.
0..H. at Board meeting asked 1:orril1 whether any re ,ort as to
Gov. No
visit to New York had been made to Board by
Federal Reserve Bank of New York, Gov. Harrison, or any
one else.
Morrill said -3.
C.S.H. asked that this be nut into the rcord.
Sept. 15, 1932. 113, 114.
Morrill had a cojy of Goldenweiser l s oriina1 roof of gold
review for Federal Iteserve Bulletin for Oct. 15, 1932, and
C.3.H. asked to see it.
Morrill said he would give it to him as so n as he had finished
reading it.
At 3:30 p.m. C.S.H. sent for it but Morrill said he had. not finished
reading it.
Oct. 11, 1932. 136, 137.
Before the Board ve ,ting C.S.H. again asked Morrill for the
original nroof. Morrill said Gov. Meyer had directed him to
destroy it, as ',Ioldenweiser was ,rearing a new draft and
therefore he did not send the original draft to C..H.
C.S.H. believes that the ori:Inal draft was probably so patently
a defense of Hoover's remarks at Des Moines on the gold
standard that Gov. Mey7T did not dare to try to c,et the Board
to approve it.
Oct. 12, 1922. 143.

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Federal Reserve Bank of St. Louis

200.

Morrill (Contld.)
Morrill telehoned Miller and he aryoroved the trust netition of
the Continental Illinois Bank & Trust Co.
Oct. 13, 1932. 146.
Said that Gov. Meyer had closed his nt. Kisco house and has
taken an apartment in :ew York, and will probably return to
Washington tomorrow night.
Oct. 28, 1932. 157.
Tells Board J.S.H. is op)os-d to salary reduction by sread the work
or nlain reductions, as he was not present when the F.H. Bank
1Tew York was passed on.
Nov. 12, 1932. 163.
Morrison, Dr.
Examined C.S.H. eyes. Said that his right eye trouble had incroased
very slightly; that the thickress of the lenses had
sensibly diminished in left eye and the right eye had hel'
its own; that he was perfectly satisfied with my progress.
Sept. 12, 1932. 110, 111.
Mortgage, Mattapois-At. 193.
Mortza7es, Real estate. 47
See — Federal Reserve District Com—ittee, Boston.
Myer, Gertrude
H.P.H. dtves with, to lunch with Rachel Hale.
June 23, 19. 2.
H.P.H. dines with.

June 24, las 2. 12.

Talms us to Mt. Vernon in evening.
June 27, 1932. 14.
C.S.H. has tea with.

July 15, 1932. 42.

C.S.H. aas tea with.

July 19, 1332. 45.

0.6.H. calls on.

July 22, 1932. 49.

C.S.H. calls on.
She went over the transfer of her securities from the Riggs
bank to the National Metror)olitan Bank.
She said they treated her as if she were mentally dcficient, and

201.

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Federal Reserve Bank of St. Louis

Myer, Gertrude (Contd.)
she asked 0..H. to tell r. White of National Uetrojolitan
Bank that he had known hr for yatrs and that she was not
mentally defective.
Aug. 16, 1932. 62, 83
Aug. 18, 1932. 85
C.S.H. dines with.

Au. 18, 11):). 81.

She takes C.S.H. in evening to Mt. Vernon.
Aug. "2, 19;2. 89
Does not send C.b.H. a birthday letter.
Aug. 30, 1932. 97.
C.S.H. calls on.

Sept. 28, 1932. 121.
Oct. 9, 1932.
135.

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Federal Reserve Bank of St. Louis

202.

-Secretary
Nagle, 1x
Em-.Secretary
Ho1441iton wants C.S.H.to make an ap -pointment to meet, who is
about ready to came out for RoosPvelt.
C.S.H. thinks it wiser not to.
Aug. 26, 1952. 95.
National bank examiners. 145

146.

See -Continental Illinois Bank & Trust
National bank notes. 48, 116.
See - Borah
Glass
Home loan land banks
Federal Advisory Council
National Metropolitan Bank
82, 83, 85
See - Myer, Gertrude
National Republican Convention. 83
See - Freeman, Bisho2
Navy, Secretary of
See - Adams, Sec.
Nepotism. 87, 88, 105.
See - Case, Everett
Nevins, Prof.
Wrote C.S.H. there was no mysteryin the omission in his life
of Henry White, of his letter oraising Mrs. Wilson; that
the book had to be cut down 50 pages and this was the
reason.
.C.S.H. explained this to .rs. Wilson, adAn that a "ck of
space" sometimes covered a multitILde of sins.
June 17, 192. 4.
MTS. Wilson writes C.S.H' returning Prof. Nevins letter, and
says he did not answer C.S.H.Is question but evaded it.
June 19, 1932. 7.
Sends C.S.H. a co2,y of his life of Grover Cleveland.
Oct. 6, 1932. 133.
New Bedford. 164
See - Ashley, .;.S.
Election night.

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Federal Reserve Bank of St. Louis

203.

New Orleans
See - Meyer,

ATV.

Nevi York banks
Gov. Harrison failed to curb speculative activities of, in 1929.
July 6, 1932. 25.
Gov. Harrison denies any conferences with, ard Gov. Norman.
Sept. 15, 1932. 114.
Gov. Meyer said it would be possible to get 50, and other banks to
agree to discount so that the FedHral Reserve Bank of
New ':otk could pay of' deposits of Bank of France, Jan. 19,1932.
Oct. 14, 1932. 149.
New York Journal of Commerce
Says Gov. Harrison is to confer with Gov. Norman at Bar Harbor.
Aug. 24, 1932. 92.
See - Uoman, Gov.
New

York Times
Said eome time ago that Gov. Norman had a onferenc3 with
New York banks over which Gov. Harrison presided.
Sept. 13, 1932. 114.
States that Owen D. Young was allowed to subscribe to 4000
per share,
shares in one of the Insull companies at
LIU later
which later was off red to public at
increased in value to $140 per share.
Seot. 24, 1932. 118.
Says Roosevelt will be overwhelmingly elected.
Nov. 7, 1932. 163.
See - Glass. 134, 144.

New York Yacht Club
Arrives at 1:attapoisett harbor.
Aug. 13, 1932. 81.
Newburg, N. Y. 17
See - Delano.
Newlands, Mrs.
ca-led up and made Tpointment to call tomorrow
Aug. 22, 1932. 89.
evening.
C..H. receives a sweet birthday let er from.
Aug. 30, 1932. 108.

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Federal Reserve Bank of St. Louis

201.

Newlands, Mrs. (Contld.)
0..H. called on.
She ,,rdid Dr. taller raised a fund of $100,000 for Mrs. Franklin Lane;
that Mrs. Phillipps and others contributed to it.
Oct. 13, 1932. 151.
C.S.H. lunches with, at his cottage in country.
Oct. 29, 1932. 159.
C.S.H. (:alls on.

Out.

0.b.H. aines witn. 177 •

Nov. 19, 1932. 177.
Nov. 25, 1932. 192.

Newton, Federal Reserve A,:ent, Atlanta
Votes in favor of salary reduction at Governars Conference.
Nov. 23, 19J • 190.
Newton, Federa Reserve A.:ent, San x'rancis;o
Votes in favor of salary reductions at Governors Conference.
Nov. 23, 1932. 190.
Norbeck, Sen.
Objects to Glass bill keeping its :referred place on calendar.
June 15, 1932. 2.
Norman, Gov.
C.S.H. asked Gov. Meyer as to why, hod came over to New York,
pointing out that New YoAc Journal of OommIrce this
morning said he was to confer or was conferriwwith
Gov. Harrison at Bar Harbor.
Gov. Meyer said he knew nothing about it, — that Gov. Harrison
was at his desk yesterday.
C.S.H. is satisfied from his manner that he did know about it,
and that there was some s-7)ecia1 reason for his colainj, to
U.S. Perha:)s later the Board will be permitted to know1
Aug. 24, 1932. 92.
The papers LA.re full cf Gov. Norman's conference in N.Y. with
Gov. Harrison and Ogden
Not a word, however, from Gov. Harrison or from P.R. Bank,
Aue. 31, 1932. 98.
Gov.Meyer told Miller he was invited by Gov. Harrison to meet
Gov. Norman at dinner ani asked
advice whether
or not to accept. 'iller said he oueht not to acce-ot
and later he telephoned Miller from New York: that he
would not.
Sept. 1, 1932. 100.

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Federal Reserve Bank of St. Louis

Norman, Gov. (Contld.)
At Board me.3ting C.S.H. asked nor
rill whether any word had come
from Gov. Harrison, the FR Bank
of New York, or from any
other source as to the visit of
Gov. Norman.
Morrill said Nol
C.S.H. asked that this Inquiry be
:Tut in the record, to which
Board agreed.
Sept. 15, 1932. 114.
James -aid he had asked Gov. Mey
er who had said to him that he knev
nothing about Galt. Norman's vis
it.
Sept. 15, 193. 114.
Gov. Norman gives out a statem
ent in London stating that no one
can give the reason for the pre
sent world lfpression.
The Boston Transript financial
column says that nolitical trends
in U.S. may have inspired this
tatement. (See scrap book)
C.S.H. believe:: that nellon may
have prompted qov. Norman thus to
emphasize that world and not dom
estic courses were at
the bottom of the depression, in
order to help Hoover in his
alibi against domestic causes
. C.S.H. also suspects that
4ov. Harrison may have sugp.est
ed this to lov. Norman.
Oct. 21, 1932. 153.
Norris, Gov.
James ma,ie a savage attack on the
Federal reserve direct loan
amendment before Gov.Norris.
4, 1932. 71.
C.S.H. stopped over at Federal
Reserve Bank, PhiladelAlia, and
lunched with.
Sept. 22, 1932. 116.
1

0.6.H. dines with Charles Warr
en to meet.
Nov. 16, 1932. 169.

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Federal Reserve Bank of St. Louis

206.

Observatory Museum, Dumfries. 45.
See - Auld Lang Syne.
Old home week, Mattapoisett
See - Mattapoisett
Open Market CoLtaittee
Gov. Meyer to attend meeting of 11,
:cv,tive Committee of, in
New York tomorrow.
He an

0.6.H. both feel we should continue open market ourchases.
June 15, 1931. 1

Open Market Conference.
See - Governors Conference
Harrison, Gov.
Open market policy
We told Gov. Harrison that lower discount rates would be more
consonant with our.
June 23, 1932. 6.
C.S.H. attended me ting of Itcacutive Committee of Feleral
Reserve Bank of New York.
Gov. Case said it would be bad
of Government securities
construed as a change in
July 5,

psychology to allow our holdings
to run off as it would be
our.
1932. 19.

The real )uxpose of Gov. Harrison in supportinc, the GlassSteagall bill as to substituting bonds for gold as
collateral for Fedfral reserve notes was to prevent the
interference with our, by requiring cold to be used
collateral in absence of eligible paper.
Aug. 14, 1932. 148, 149, 150.
See - Federal Advisory Council
Gold standard
Governors Conference
Harrison, Gov.
Meyer, Gov.

Alm

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Federal Reserve Bank of St. Louis

207•

-P-

pan American Union. 28
See - Rowe, Dr.
Panic of 1929.
French Strother, literary s‘cretry of Hoov
er, asked Board to
give him all statements issued by Board as to
sDeculative
conditions leading up to.
Board voted to send him only the Federal Rese
rve Bulletins.
S.H. moved to send a statement given out at
White House by
Gov. Young on Nov. 20, 1929, t]:-.1.t conditio
ns were sound but
Board disapproved.
C.S.H. sent Strother his testimony before Ba
1:ing & Currency Committee
of Senate.
Sept. 1, 1932. 106, 107.
See - Meyer, Gov. 24.
Participation in open market purc
has3s.
18, 19, 27.
See - Harrison, Gov.
Partnerihi:). 37
See - Federal reserve direct loans.
Patten, The Misses
C.S.H. calls on. Aug. 21, 1932. 80
Oct. 9, 1932. 135.
C.S.H. takes tea with, to meet Lord Read
ing.
Ste .4tooneyi MEM • Oct.15, 1932. 150.
Paulger, Leo, Chief F.ri. Examiner
Examines Continental Illinois Bark J'c Trus
t Co.
with its application for trust powers.
Oct. 13, 1932. 145.

in connection

Advises in favor of granin7, the peti
tion.
Oct. 13, 1932. 146.
Sent to New York to examine 1.anhattan Comi
)any on its letition
for admission.
Nov. 18, 1932. 174, 176.
Gives favorable report.
Nov. 21, 1932. 183, 184.
Pease, Z.W.
Mr.

Mrs. lunch with us to meet Magee, ;ov. Young, et
al.
Oct. 23, 1932. 154.

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Federal Reserve Bank of St. Louis

238.

Pe,ise, Z. W. (Contld.)
We dine with.

Nov. 5, 1932. 163.

person. 37
See — Federal reserve direct loans.
PhiliD)s, William
Subscribed to fund for Sec. Lane raised by Dr.

151.

See — Carnegie Endowment.
Photostat 37, 45.
See — Auld Lang Syne.
Pickring, William. 16
See — Auld Lang Syne
Platt, Edmund
Gov. Meyer tells Delano that we took care of, referring to
his resi.mation from F..... Board.
Nov. 19, 192. 180.
Pole
See — Comptroller of Currency
Policy
See — Oloen market
Governors Conference

On motion to I)roceed with the naval bill, the refusal c) Senate
to allow Glass bill to kee,
.) its preferred -olace on the
calendar by a vote of 44 to 25, 27 not voting, was a purely
political vote. The ayes w,3re chiefly Heflubli3an and the
Nos chiefly Democrats.
June 1.5, 1932. 3.
James seems to believe that the desire of Federal Reserve Bank
of New York to lower discount rates from 3 to 2
is
largely -oolitical and he therefore demanded the reasons
in writing.
June 23, 1932. 9.
C.S.H. — when Chicago put in a rate reduction from 3 to 2,
althouel almost always opl)osed to rate reductions — believes
James is right and that it savors of politics.
June 24, 1932. 11.
The action of Harvard University in giving L.L.D. to Sec. Adams
and Sec. Ogden
11s, C.S.H. believes was pure politics.
June 23, 1932. 12, 13.

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Federal Reserve Bank of St. Louis

aya

politics (Contid..)
Kenworthy an Englishman, in Current History for hay, 1932,
charged. Federal Reserve Bcard with political reasons for not
meeting the s)eculative craze of 1928 and 1929 more firmly.
Another article to se effect by Kenwortny avoleared in the"19th
Century" for June, 1932. ;See scrap books)
July 1, 1932. 16, 17.
Daiger is prenaring an answer to Kenwortay and Lichtenstein.
Aug. 24, 1932. 91.
See — Daiger
C.L.H. is satisfied that he Washinpton conference of Business and
Industrial Committees was purely political, endirg with a
resolution praising Hoover. Aug. 31, 1932. 97.
James E. licOonnell told C.S.H. that a client of his had a loan
from the First 17ational Bank of Boston, an officer of Which told
him to sell his collateral and nay his note (amply secured) as
if Gov. Roosevelt ware elected, as then seamed likely, there
would be a collanse in security values.
Sept. 23, 1932. 117.
Daiger has article in Current History for Oct. 1932 showing that
the charges of Kenl,orthy and Lichtenstein that Federal Aeserve
Board was influenced in 1928 by the coming Presidential
election, not to deal firmly by way of reversing its easy
money policy, — was untrue and ridiculous.
Se)t. 27, 1932. 119.
Mr. Richardson, of Re:;ublican National Cora:1 ttee, oublishes a
letter from Bishop Lawrence, stating that a "friend" (C.S.H.
thinlm his son—in—law) had written him from Portland, Ore,-on,
saying that since Roos -3velts visit there, he 1:neu of no sir0.e
person wno was :oing to vote for him.
The Bishop seams to think that the Lpisco-)al Church is a branch
of the 4eIiublican Party.
Cnsid.ering the enormous majority Roosevelt received in Oregon, it
would seem that the Bishaols corresnondent must have a very
limited acquaintances
Oct. 8, 1932. 1:34, 135.
j.6.H. suspects that (;ov. Meyer was playing politics in seeking
to have Goldenweiser review the gold nuestion in the Oct. 15
nubber of F.R. Bulletin — an effort to bolster un Hoover's
staAment as to the :old standard.
Oct. 11, 19:2. 137.

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210.

Politics (ContId.)
C.S.H. objected to any such revision on 7round that
it would
subject Board to charge of playing -politics.
Oct. 11, 1932. 138, 139, 141, 142, 143.
See - Leyer, Gov.
C.S.H. believes Croy. Meyer was oraered by Hoover
to back: hia4
a gold statement and that Gov. Meyer tried to do
this but may
have been secretly glad the Board aecliaed to
do it.
Oct. 12, 1932. 144.
Ambassador Mellon made a political speech in Lonc'
on before the
Anglish Speaking '_lniJn in 2.Nor of Hoover's reele
ction.
An unprecedented action of an AmbassadorL
Oct. 21, 1932. 152.
Gov. Norman makes a statement tilt n)one knows
the real cause of
the economic depression.
0.6.H. believes this was done to back up Hoove
r's claim that the
cause was domestic, and that Ambassador Mello
n and perhaps
Gov. Harrison were behind this.
Oct. 21, 1932. 153.
C.S.H. believes the attempt of Ogden Mills and
Gov. Harrison to
secure anointment of a Joint Oongressinal Commi
ttee to study
banking reform was a purely political move to
shelve the
Glass bill.
Nov. 18, 1932. 170, 171.
Pomerene, Sen.
C.S.H. calls on Mr. e: Mrs. at Wardman Pa& Hotel
.
Oct. 19, 1932. 135.

Out.

Po,,er rates, Mattapoisett
See - Public Utilities Commission, Mass.
?re,idential election, 1928.
See - Ashley,
Election
Vote
Price stabilization bill
Glass amendment - national bank notes - was
put in to aefeat tie.
July 22, 1932. 48.
President of U.6. 178, 179.
See - Delano
Roosevelt

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211.

Prime Minister. 158
See - Meyer, (3-ov.
Private tele-)hone
Peaeral Res,-rve Bank of New York to lit. Kisco.
17, 24.
See - Meyer, Gov.
Prohibition 'ie-oublican plank
June 23, 1932.
See - :ills, Ogden
Propaganda. 117.
See- First National Bank
McConnell
Protest
Hoard directs Gov. Meyer to, to Hoover against proposed
Federal reserve direct loan amendment.
July 13, 1932. 35 (2)
James files, against action of Coa.ress in praising Federal
reserve direct loan amendment.
July 13, 1902. 37.
sends to each Board member a, against pro-posed
salary cut of Federal Res rve Bank, New York.
July 28, 1932. 63, 64.
PUblic Utilities Commission, Mass.
Dismisses C.-.H. petition against power rates at Mattapoisntt
on p;round that if he has one meter -3ut in for all
electric current, including power, he will get a lower
rate than he now gets on power.
Originally the electric company urge' C.S.H. to put in a
separate meter for power as being much cheaper than the
then rate for electric lit; that this installation
cost $30.
June 24, 1932. 14, 12.
Purchasing power
Oct. 17, 1932. 151.
See - Bread and butter
Hoover.

4111

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212.

quaritch. 16
See - Auld Lang Syne.

Radical
Owen Young says Roosevelt will not be a distinctive.
July 5, 1932. 20.
Radio
See - Gies.
Ratio
See - Reserve r.tio
Reading, Lord
C.S.H. attends tea

Miss Pat tens to me t.
Oct. 15, 1932. 150.

Real estate mortgages
Sixty per cent of the answers to N.E. Business and IndIrtrial
Com_dttees said there was great difficulty in borrowing
money on.
Ju_y 22, 1932. 47.
Reconstruction Finance CorT)oration
Charles Warren sal i it was rxImmon knowledge th,it Gov. Meyer
and Charles Dawes ere at swords points in the.
July 18, 1932. 6.
Mi1l9r s-id there was much op)osition to Gov. Meyer's managaaent
of the R.F.C.; that he was consider-d "hard boiled"; that
the rumor is th-t he will soon be "relieved".
July 6, 1932. 22, 23.
Gov. Meyer has ;_7iven practically all of his time to.
July 6, 1932. 24.
Gov. Ueyer told Miller he had heard that Sen. Glass was to
attadk him in connection with the R.F.C.
July 6, 1932. 25.
Gov. Zeyer is absorbed in the R.F.O. to the utter neglect of
his duties on the P.R. Board.
July 7, 1932. 27.
C.b.H. tells Glass that ifG%rner gave up R.F.C. loans to
individuals and substituted the Federl Reserve Sstam he
would sup)ort him.
July 7, 1932. 28, 33.

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Federal Reserve Bank of St. Louis

213.

Reconstruction Finance Corporation (Contld.)
Hoover asks Congress to increase the R.F.C. to 8 members,only
4 to be from one -political party, also to drop Gov. Meyer
and a representative of the Fax Loan Board.
July 12, 1932. 31.
At request of Floyd Harrison secondtd by Board, C.0..H. wrote
Glass that we favoredlgop)ing Gov. Meyer from the R.F.C.
July 13, 1932. 37.
Gov. Meyer refers to fact that he will soon be relieved from
the R.F.C.
C.S.H. believes he was forced off.
July 19, 1932, 44.
Has advanced 90 millions to Secretary ct-.7 Ar-riculture to make
seed loans to farmers.
July 2) 1932. 47.
Act July 22, 1932, drops Gov. Meyer tram R.P.C.
Mrs. Bannister called and said she wanted a position und,r, for
her dau-hter.
July 22, 1932. 48.
See — Bannister, ::rs.
Mrs. Rooney tells C.S.H. she knew Gov. Meyer was fired out
of.
Avue. 21, 1932. 88, 90.

•

Miller said Gianini mad get all he wanted out of, for if
refused he would publish the Board's correspondence
with Gov. Calkins as to Bank of America which would injure
Gov. Meyer and perha7A also the Federal Reserve Board.
Sept. 1, 1932. 103, 104.
Federal Reserve Board was utterly ignored in creating the
R.2.0.
Act.
Nov. 19, 1932. 179.
Red Cross.
Gov. Seay told C.S.H. that at the recent Red Cross drive
many
of the employees of his bank asked if they could -postpone
the payment of the $1 until the next pay

„.

•

This shows how they will suffer from reduced wares.
Nov. 18, 1932. 172.
Reed, Sen.
Objected to Glass bill keeping its 2referred place on the
calendar.
June 15, 1932. 2.

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214.

Regulations
Federal reserve officers borrowings.
Gov. Meyer favors.
Nov. 25, 1932. 192.
See — Federal reserve direct loans.
35 (2) 36, 37, 41, 41 (3) 41 (4), 49, 52, 65.
Relief l ill
See — Emergency relief bill.
Reparatiqns
U.S. agreed to participate in economic Conference only on
condition that, and Allied debts should not be considered.
Sept. 28, 1932. 120.
Renorts
See — Branch bank report.
Republican National Cathedral
Bishop Freeman prays at National Convention and acceptance.
84, 135.
Republican National Committee.
Responsible for Hardie statement that Literary Digest returns
are being changed by senders to favor Hoover.
Oct. 28, 1932. 157.
Republican National Convention
James Reynolds said the, was the dullest he had ever seen.
June 18, 1932. 6.
Harvard University gave Mills an L.L.D. fresh from, and victorious
in putting over a false prohibition plank.
June 23, 1932. 12.
Republican National platform
Had a vague plank favoring greater control over speculation
but its hypocricy is shown by Republican Senators in
refusing to allow the Glass bill to keep its nreferred status.
June 15, 1932. 3.
Republican Party
Has degenerated and should be defeated.
Houghton.

Aug.8, 1932,. 74.

Hoover's election would not be a victory for.
Houghton. Aug.8, 1932. 75.
Republican politics
Harvard University, in givin

honorary degree, is dominated by.
June 23, 1932. 12.

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Federal Reserve Bank of St. Louis

2 15.

Republican scheme.
To defeat Glass bill.

Nov. 16, 1932. 171.

Reserve ratio
Federal Reserve Bank of New York, by open market purchases,
fell to 47jo while Boston and Chicago were over 702.
July 5, 1932. 18, 20.
Reserves, Member bank
Much of proceeds of purchases by Federal Reserve Systan of
Government s - curities were used by member banks in -paying
off their rediscounts.
June 15, 1932. 2.
See - Excess reserves.
Resiv,nation .
Cam2troller Pole. Sept. 1, 1932. 105.
Governor Meyer if Roosevelt elected. Oct. 29.

158, 166.

Responsibility, Federal Reserve Board.
C.S.H. believes there is at least a moral responsibility on
Board to bring about particination in Government security
purchases made under vote of 0,)en :iarket Comiittee.
July 5, 1932. 19, 27.
Retirement provision.
Federal Re:•erve Board members.
C.-.H. Oct. 29, 1932. 158.
Review of L:onth.
See - Gold standard.
Revolution
Owen D. Young says a, is coming, not of extreme radicalism, but
of a new order.
July 5, 1932. 21.
Reyburn, S. 62, 66.
See - Salary cuts.
Reynolds, James
Tells Charles Warren the Relublican National Convention was
the dullest he had ever seen.
July 1E, 1932.
Said convention would have renominated Dawes by acclamation had
he not refused; that Hoover wanted T. Roosevelt nominated,
and to avoid this they renominated Curtiss whom they did
not want.
(Page 215-A follows)

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215-A.

Rice, Mr. and Mrs. W. G.
Visit us at Mattapoisett. 4-Lug. 25, 1932. 96.
Calls with C.S.H. on Mrs. Stoessel.
Sept. 4, 1932. 108.
Richardson
See - Lawrence, Bishop
Richardson, Dr. W. M.
Death. Oct. 20, 1932. 159.
Richardson, Milton. 190.
See- Girardeau, Janet.
Richmond letier. Burns. 38.
See - Auld Lang Syen.
Riggs :rational Bank. 82, 85.
See - Myer, Gertrude.
Robinson, H. W. 33 (2). 162.
See - Federal reserve direct loans.
Hoover
Robinson, are. Douglas
Voted for Roosevelt. Nov. 20, 1932. 183.
Robinson, Sen.
Favored keeping :referred status for Glass bill
.
June 15, 1932. 2.
At White House Conference which accepted Fe eral
reserve direct
loan amendment. June 13, 1932. 35 (1).
Rodgers, Mr.
C.:).H. meets, at tea at Rachel Hale's.
July 10, 1932. 29.
Rogers, Lrs. Archie
We me3t, at Mrs. James Roosevelt's nouse at Hyde
Park..
July 3, 1932. 18.
Rooney, Miss. 88, 90.
See - Meyer, Gov.
Roosevelt, Archie
Voted for Governor Roosevelt.
Nov. 20, 1932. 183.
Roosevelt, Gov.
Dr. & Mrs. Miller visited, yesterday.
June 12, 1932. 1.
(Page 215-B follows)

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215-B

Roosevelt, Gov. (Contid.)
Owen D. Young, in talk with C.S.H. seemed pleased at
nomination of.
He said there were some points on which he did
not agree
with him, but he recogni7ed his upright character
and honesty
and that he would not be a destructive radicd;.th
at he
would send him a personal note, not to be publi
shed, and
arran,;e for an interview, and that later he would
come out
for him publicly.
July 5, 1932. 20.

•

0.6.H. met Charles R. Crane who was very enthusiast
ic about
Roosevelt.
July 6, 1932. 21, 26.
Crane said Houston was bitter against.
July 6, 1932. 22, 36.
C.S.H. writes congratulating.
July 6, 1932. 26.
Ogden 1i11s attacks, in Boston speech.
July 11, 1932. 31.
Archie Roosevelt, Mrs. Douglas Robinson, and Janet
Fish voted for.
Nov. 20, 1932. 163.
Col. House told Wooley that, visited him at Bever
ly Farms and
that they agreed won a plan of campaign under which
the
state conaittees w -re to be a:iven full recognitio
n, but
tat a few days later, announced a radically diffe
rent plan
lealring the state committees pr_ctically isolated.
Col. Howe
expressed keen disap ,)ointment at this.
July 24, 1932. 50.
•

Wooley said Easary, a Baltimore correspond, nt,
had an interview
with, and he was satisfied that, would remove Mayor
Walker.
July 20, 1932. 50.
Wooley said Roper told him that Farley and Louis
Howe told him
th,7A, would not think of removing Mayor Walker.
July 20, 1932. 51.

•

Wooley said that McAdoo, before turning over Calif
ornia and Texas
to, had an understanding that he should be consu
lted
before the appointment of the Secretaries of State
and the
Treasury.
July 20, 1932. 51.
Woole:- said above was not a condition but
merely an understandin
not binding on Gov. Roosevelt - merely a
promise to consult.
July 20, 1932. 51.
(Page 215-0 follows)

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215-C

Roosevelt, Gov. (Contid.)
Rachel Hale reads C.S.H. a letter from Constance Williams
(Lodge) bitterly attacking. Called him an ass, etc. etc.
Aug. 4, 1932. 72.
Houghton tells C.S.H. that Mc-Secretary Nagle is on point of
Aug. 26, 1932. 95.
coming out for.
An officer of First National Bank, Boston, advised a customer
to sell the collateral behind his note, saying that if
Roosevelt is elected as will likely happen, this would be
a collapse of security values.
Sept. 23, 1932. 117.
A friend of Bishop Lawrence wrote him that he did not know a
single person in Portland, Oregon, who would vote for.
Oct. 6, 1932. 134.
See - Lawrence, Bishop
Mr. Marvin, of N. Y. EVening Post, "rote Dr. MacDonald asking
whether infantile paralysis is not unually followed by metal
trouble.
Dr. MacDonald replied that he evidently wanted to find out abot
Gov. Roosevelt's mental condition; that While it would be
unprofessional to talk about his patietts, he would say that
after the first initial attack he had never 'mown or heard
of any mental trouble following.
Oct. 21, 1982. 153, 154.
C.S.H. reminded Mr. Larabee of bitter things which ax-Secretary
Houston had said against, and that he certainly did not
believe Roosevelt would put him in the Cabinet.
Oct. 23, 1932. 154.
C.S.H. believes Houston is ready to go back to support of,
but would like a Cabinet position for so doing.
Oct. 23, 1932. 155.
Literary Digest denies that maw have changed their straw
vote from, to Hoover.
Oct. 28, 1932. 157.
See

Hoover.

Wyatt says rumor is that Gov. Meier will resign if, is elected.
Oct. 29, 1932. 158.
(Page 215-D follows)

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215—D

Roosevelt, Gov. (Cont'd.)
Rachel Hale said Ellen Leonard told her that Mary nillersaid
that Dr. Miller had told Hoover that he should vote for
Oct. 30, 1932. 159.
Roosevelt.
Springfield Republican comes out for.
Nov. 2, 1932. 161.
N. Y. Times predicts overwhelming election of.
Nov. 7, 1932. 163.
Election day, 4 p.m.
Layor Ashley says Roosevelt has carried New Bedford by over
7000 as against 1700 in 1928 by Gov. Al Smith.
Nov. 8, 1932. 164.
Has a larcermajority than Hoover had in 1928.
Nov. 9, 1932. 164.
Votes for Roosevelt and Hoover;
Hoover
Mattapoisett
Marion
Fairhaven

469
496
1942

Roosevelt
196
169
1448

An astounding Democratic gain over 1928.
Nov. 9, 1932. 165.
C.S.H. writes congratulating.
Nov. 10, 1932. 165.
Catherine Grant writes she is much worried over. She said
Mrs. Delano said he looked frightfully election night.
Nov. 19, 1932. 173.
Delano said there had been a conspiracy whispering campaign
against Roosevelt; that it was whispered that he did not
have infantile paralysis; that he really had venereal disease.
Nov. 19, 1932. 177, 178
C.S.H. told Delano he might have favored Roosevelt's appointing
Sec. Adams, had. he not made such bitter references to, during
the campaign.
Nov. 19, 1932. 178.
See — Delano.
Delano speaks of Houston's on,Dosition to.
Nov. 20, 1932. 181
See.Delano
Houston
(Pagr #216 follows)

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216.

Roosevelt, Gov. (Conted.)
Elihu Root told James Brown Scott that Roosevelt's election was
good for the country.
Nov. 20, 1932. 181.
C.S.H. told. Mrs. Delano that he heard that Archie Rooseyelt,
Mrs. Douglas Robinson and Jane Fish voted for.
Nov. 20, 1932. 183.
Roosevelt, Mrs. James
We call on, at Hyde Park. July 3, 1932.
C.S.H. writes letter of congratulation, to
Nov. 10, 1932. 105.
Roosevelt, T.
Jamie Reynolds told Charles Warren that Hoover wanted, 'laminated
for Vice President 'and that Curtis was nominated to avoid
this.
June 18, 1932. 6.
Root, Elihu
181, 182, 193
See — Scott, James Brown.
Rosenwald, Julius
Miller said,lifteDmany specific legacies that practically
nothing was left for his family.
June 20, 1932. 7.
Ross, Mrs. Governor
Visits us at Mattapoisett.
Sept. 5, 1932. 108.
Rowe, Dr. L. S.
lunches with, and meets Argentine Ambassador et al.
July 7, 1932. 28.

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217.

—s—

Salary reductions
Sen. Glass tells 0.5.H. he will a tend to the matter of exeuting
Board and employees frau s lary reductions in economy bill.
June 17, 1932. 5.
Conference report has a clause exen)ting from salary cut emAoyes
and officers whose compensation is paid by assessments
on banks and not out of Tr-zsury.
June 24, 1932. 13, 14.
Federal Reserve Bank of New York as
a))roval of reduction of 8-1/3,;
for employees and 10,b for officers, the former being
accamnlished by furlouehs.
C.6.H nrepared answ,-r in form of a proposed letter to Case,
denying approval.
July 25, 1932. 51.
C.S.H. convinces Ogden

hat proposal should be disap-)roved.
July 26, 1932. 54, 55, 56.

C.S.H. tells Owen D. Young of his disup)rovva of pro)osed cut.
July 28, 1932. 61.
Young said. Reybuxn was the director who was most persistent as to cut.
C.S.H. said no business cornoration would cut wages at a time when
it was earning its fixed charges, 2 6.";.; dividend, and adding
to surplus, as the P.R. Bank of New York was.
July 2e, 1932. 62, 63.
Miller said Gov. Harrison told him that question of salary
reductions was considered at the last Governors Conference;
that all of the Governors except himself oo2-)sed it; that
Federal Reserve Bank of New York held ix) its plan until
it could discuss it with the Governors.
July 28, 1932. 65, 66.
On C.S.H.Is motim Board voted to disapprove Federal Reserve Bank
of New York plan.
Aye:
No:

MIlls, Gov. Meyer, C.S.H., James, nagee
Miller.
July 29, 1932. 67.

Same vote on Richmond plan.
July 29, 1932. 67.
Gov. ney:!r softened Board's decision as to 2.1?.. Bank of N.Y., but
disa2)roval remained.
Aug. 2, 1932. 69.

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211i.

SaLlry reductions (Contld.)
Burgess presented tenttively a plan for a 5 hour day for
employees, equivalent to iro reduction. Snread the work plan
to be in :Tov. 1.
The officers to be reduced B-2/3;3.
Gov. Ueyer and 1:iiler favored it but C.S.H. opposed it.
Went over.
Oct. 11, 1932. 139, 140.
Board voted no objection to above plan.
C..11. not present but his protest was read.
Nov. 14, 1932. 167.
Board held up a so:Jewhat similar plan at Federal Res rve
Philadel:thia, for further details.
Nov. 14, 1932.
Joint Conference considered salary reductions.
JaLies pave figures of wages and officers salaries in 1931, taking
1926 as 100, which Showed no increase for ma-aoyes but
al-out 111 for officers.
No action taken, but later the Governors and A,Tents considered the
matter separately.
Nov. 18, 1932. 171.
Gov. Youq,7 jut in a resolution that matters be referred to the
directors.
Disaj-)roved.
Nov. 18, 1932. 171.
Gov. Seay told C.S.H. that the conference voted 20 to 4 against
salary reductions.
Nov. 18, 1932. 171.
Gov. Seay told C.'3.H. that in the Red Cross drive many ec421oyees
asked to be given until end of ,,orrth to pay membership fee
of $1; that it would be cruel to reduce their wae.3.
Nov. 18, 1932. 172.
Dr. niller called attention to fact fll-tt he had voted in favor
of every proposed salary reduction.
Nov. 18, 1932. 172.
Board. took -t.rj swead-the-work plan of P.R. Bank, Phila.
C.Z).H. and James t-.aid it was unfair to put entire cost of
s-oreading the
on the moloyees when the Federal re!-;erve

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219.

Salary remotions (Contli.)
bank in payinL7 dividends and

dir4,-; to sux7lusl.

C.S.H. said he believed in the 5—day week, and would be
willing to se wages reduced if the corporation wre
strapned and e.g. had nassed dividends, but not Where
is to its surnlus; that in the
it earns dividends and
latter case the corporation should absorb the cost of
spreading the work, just as it now pays for welfare
work, and absorbs 1/2 of cafeteria expenses etc.; that the
Fed-ral res,?rve dividend is cumulative and so also in
equity should be a living wage.
Miller admitted that the question was somewhat doubtful and said
he feared the idea might spread to include a share of all
income frau all the peo-ple.
Board voted to interpose no objection to the Federal resrve
banks working out each its own plan.
0.6.H. voted No. James voted Yes. C.S.H. said the FeJ-ml
reserve bank of Ishila. was now "spreading" its building,
and why should this kind of spreading the work also come
out of the employees salariesi
Nov. 23, 1962. 188, 189.
At joint conference those who favored salary reducti Ins were
Governor Harrison, Gov. Young, :lov. McKinney and Gov. Cal :ins,
Chairman Walsh and the two Newtons.
Nov. 23, 1932. 190.
Sanger, Liarion (Child)
Writes C.S.H. as to her miscarriage.
Aug. 19, 1932.

85.

Called on, in Emergency Hospital with James.
Oct. 7, 1932. 134.
Called on, at Emergency hospital.
Oct. 9, 1932. 135.
Called on, at Mrs. James apartment.
Oct. 16, 1932. 150.
0.6.H. writes, in re2ly to her postal d:trd.
Nov. 17, 1932. 169.

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220.

Scandals. 157
See — Literary Digest; Hard.
Scott, James Brown
0..H. lunches with Delano.
Sr. & nrs. James Brown Scott Dresent;nr. Scott said he called
on Aihu Root just after the election; that Root
said he thought oridnally that the country would go to
the dogs after Cleveland's ,
lection, but, looking back,
he thought it was a .:ood tailg for the country; that he now
felt the rame as to the election of Gov. Roosevelt; that
he gave these reasons for his o-iiniont

The country wanted a change and was entitled to it.

The Republican Party had consistently lied to the
peo-)le as to prohibition.

3. Hoover was absolutely unfitted to be President;
that he nevcr a2preciated that ours was a
country of chec:cs ana balances, nor the
necessity for fair com)roiAses; that he
utterly lacked the qualities of a leader.
Nov. 20, 192. 181, 182.
O.S.H. tells the above to Dr. Miler in absolute corfidence.
Nov. 25, 1932. 193.
f;eabury, Juclge
Harvard University gives degrec of L.L.D. to.
June?„3, 1932. 12.
Seay, Gov. Pederal Reserve Bank of Richmond
Tells C.S.H. th, Conference voted 20 to 4 against salary
reductions.
Nov. 18, 1932. 171.
Speaking of the harshness of salary reductions, raid lately
many of his aa2loyees had asked an extension of time for
1)ayment of $1 Red Cross fee until begimiing of next mJnth1
Nov. 18, 1932. 172.
Secretary of Agriculture
The R.F.C. advanced 90 millions to, for loans to indiviLual
farmers, as permitted by Act.
July
47.
Delano favored

G07.

Lowden as.

Secret.iry of Navy
See — Adams
Secretary of State.

Nov. 19, 1932. 178.

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Federal Reserve Bank of St. Louis

221.

Secretary of State
Woolley told
that Roosevelt promised. ::,cAdoo to
consult him before a- :ointing, fnxi Navy.
July 24, 1932. 51.
Secretary of Treasury
Woolley said Rooevelt nramisea to consult McAdoo before
appo-ntin Secretary of State and.
July 24, 1932. 51.
Miller said the domino.tion o: ,ov. Meyr'r by ::ills showed
neces ity of removing, from F.. Board.
Set. 1, 1932. 105.
Wyatt thinks 7,ov. Meyer may resign if Roosevelt is
elected as he would be distrustful of new Secretary of
Treasury whoever he might be.
Oct. 29, 1932. 158
Gov. Meyer agreed with ii11er that, should be drop-oed
from Federal Reserve Board.
Nov. 14, 1932. 167.
C.S.H. tells Delano that, and Comptroller s_lould be dr000ed
from Federal Res-rve Board.
Nov. 19, 1932. 178.
C.S.H. tells Delano the relation of Gov. Meyer to, has been
too close.
Nov. 19,1332. 179.
Delano favored droolirg, and Colptroller from Feder]. Resrve
Board.
Nov. 19, 1932. 180.
See - Mills, Ogden.
Section 3, Glass bill
Gov. Meyer finally acce-Aed, as drawn by Bo,?.rd, althouh
0..H. knows that originally he did not apnrove it.
July 11, 1932. 30.
Section 10 (b) Glass-Steagall bill.
See - Glass-Steaall Bill.

41 (3).

Security, Ferieral re,rve direct loans.
41 (3)
See - Federc.1 re:; rve dil'ect loans.
Sedgwidk, Rev. Theodore
Praises in sermon at Mattanoisett 0..H.Is :dress, Old Home
Week, esoecially his reference to Aesonis fable, the Belly.
Aug. 14, 1932. 81.
Later, he referred C.S.H. to Corinthias1it, 15 to 22 as
containing a statement very like the Aesop fable.
See Scrap books.

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Federal Reserve Bank of St. Louis

222.

Shouse, nrs.
C.S.H. meets, et dinner with Miss Connolly.
July 27, 193. 60.
Sick Lave
From Wednes_ay, :ov. 8th, to Sunday, ::ov. 13th. J. .H. was sick
at 1:att.,2oisett with a severe cold.
Nov. 13, 1932. 166.
Sinrod, Mr.
99, 100, 161, 162, 18.,
See — Hay-,Ads:ms House.
Smead, hr.
C.S.H. asks, as to Hoover's attement as to danger to gold
standard in Des Moines s-oeedh and as to whether reduction in
reserve requirements would have avoided any such aaner.
He said lowering of required reserves would probalay not have
released enough ;old to care for the situation, but that
there had never been a moment when any nossible situation
could not have been cared for by lettinr Government securitien
run off and not replacing them, thus forcing the banks to
7)rovi,..ed eligible paper
rediscount and that this would have .
which could be substituted for gold behind Feder,11 reserve
notes; that this would, e course, have interfered with
Board's open market Dolicy, but that at no time was the 7o1d
standard in danger, although some Treasury officials may
have feared so.
Oct. 6, 1932. 127, 128.
Smith, Gov. —1..
Carried :ew Bedford in 1928 by 1700.
Roosevelt carried in 1932 by 7000.
Nov. 8, 1932. 164.
Smithsonian Institution
Gov. Meyer once tried to have Delano dropped from.
Nov. 23, 1932. 192.
Sotheby's 16.
See — Luld. Lang Syne.
Speculation
Strother, Secretary of Hoover, asks Board for co.,yies of Ul
statements regarding, in 1928 and 1929.
Sept. 1, 1932. 106.
See — Kenworthy.
Spreading the work. 167, 168.
See — Haalin, Geo. P. Jr.
Salary reduction.

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Federal Reserve Bank of St. Louis

,
307

Springfield Re)ublican
0.6.H. sends Catlerine ,rant a coy of e,dterial in, caainc out
for Roosevelt.
Nov.
193 • 161.
Stabili7ation
See — Price stabilization bill.
State Department
See — Castle
Esquire
Secretary of State
Stinson, Sec.
Title
Stevens, Federal Re:.;orve Agent, Chicago
Gov. Meyer sid, was not a specially good banker and had been
unloaded onthe Federal res--Tve bank by his bank.
He said Lyon (?) one of the bank officers so told him.
Nov. 25, 1932. 192.
Stevens, Henry (Green Mountain Boy)
See — Auld Lang Syne.

16.

Stimson, Fred
L46.H. loans Miss Connolly Stimson's book, "My 7nited Stt-tes."
July 13, 1932. 59.
Stock Llarket, .;ew York
Had a bad collapse following Hoover's; sTeecil, Dec. i..oines, on
sold standard.
Oct. 6, 1932. 133.
Stockholders meeting.
See — Federal Resent-. Bank, Boston.
Stoessel, Albert, Mr. &
We dine with.
After dinner he nlayed on violin, and later played my song
dedicated to H.P.H.
Aug. 12, 1932. 79.
They dined with us.
Aug. 13, 1932. 81.
Harriet Rice called with C.S.H. on, and they played all of
C.S.H.'s songs. He said they showed Astinction.
Sept. 4, 1932. 108.

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Federal Reserve Bank of St. Louis

224.

& Mrs. (Contid.)

Stoessel,

Sent evening with.
They played C.S.H.Is songs.
He said the one dedicated to Bertie was really of great merit.
He previously had written C.S.H. that his son-s were works of
"distinction". (See scrap book)
Sept. 10, 1932. 103, 110.
Call on 0..H.
Oct. 1, 1932. 122.
Strike, sympathetic
J.S.H. said cutting down Federca reserve salaries when balk is
earning diviaends and a-ding to surplus is really a.
July 28, 1932. 66.
Strother, 2rench. 106, 107.
See - Speculation.
Supers (See also dinners, lunches, teas)
1J.S.H. with hiss Ccnnolly.
July 12, 19a. 34.
0..H. with :Ir. & Mrs. Charles Warren.
Oct. 9, 1932. 135.
With Gov. Meyer.
Governors and Federal reserve agents.
Nov. 14, 1932. 167.
burvey of credit conditions
Mills said a, by Southern Pacific R.a. showed credit was being
withheld.
July 19, 1932. 44.
C.S.H. moved that each Federal reserve bank make a.
Passed, slijhtly modified.
July 19, 1932. 44.
See - Business
Sympathetic strike
See supra - Strike.

Indui-;trial Committees.

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Federal Reserve Bank of St. Louis

Tariff
126.
See — Economic Conference.
Tax,

O.
C.S.H. files D.C. income tax return for fiscal y..3ar 1933.
July 23, 1932. 45.

Teas (See dinners, lunches, supers)
With Mr. & nrs. Warren.
Nov. 22, 1932. 187.
Telephone, Private. 17, 24.
See — Meyer, Gov.
Thanksgiving Day
C.S.H. honed Rachel Hale would invite him to,
did not.
Nov. 20, 193:!. 182.

dinner, but she

0..H. dined with Edith Helm.
Nov. 24, 193. 190.
Howland Chase told J.S.H. that he and Mary dined with RachdLHale on
Nov.
1932. 191.
Thorndikt, Dr. Augustus
A woman named Martha Jewett, an alleced friend of, called and
borrowed $7 which she never returned, and Dr. Thorndike
wrote he nevcr heard of her.
Sept. 12, 1932. 113.
Title, Federal Resnrve Board member
"Esquire
5, 22, 46, 49, 85, 89, 91, 110, 116.
See — Esquire
Trade acceptances
Board in Executive Corldttee took up an licatian of Federal
Res.rve Bank of Philadelnhia for a 3 discou#Lrate on.
The discount rate on commercial paper was 3 %.
James claimed PhiladeL)hia should put in an open marlet purchasiniE
r:7 ..P. the same as Federal Res-rve Bank, New York, as
different purchasing rates in different districts would
subject Board to criticism.
S.H. replied that commercial per discount rates also vary
in different districts.

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Federal Reserve Bank of St. Louis

226.

Trade acceptL,nces (Contld.)
James would not ap,-ree and matter went over.
Aug. 19, 1932. 85, 86.
Federal Reserve Bank of San Francisco applies for a Federal
reserve direct loan rate of 70 with a lower rate for certain
clactifications and a 5.:o rate on tr,ide acceptances.
Hiller said trade acceptances should take the regular discount
rate and C.S.H. af;reed.
1932. 92, 93.
Aug.
Board took un Philaielohia petition for 3-; discount rate on
trade acceptances.
Board ,decided that it should be sane as on exIlercial paper, —
3, but that Phila. could put in an anen market purchase
rate lower than this.
Aug. 24, 193;). 9;3.
Gov. Meyer said he had no sympathy with trade accentanc-s as
nromissory notes were just as ood; that trade accentances
did not create new credit.
Aug. :A, 1932. 94.
Trading with Enemy Act
Wyatt said that lellt June the Treasury asked his o)inion :tlether
the, was still in effect; that Gov. Meyer told him not to
give an opinion as it was not a material miestion; that the
Treasury tnen asked Attorney General for an o'.inlon, and,
he thinks, the reply was it was still in effect.
Oct. 13, 1932; 144, 1,5.
Transamerica Corporation. 156, 157.
Hoover called on Board for all correspondence bet7reen Board and
Gov. Calkins regard in the intervention of Board in the
fight for proxies at the meetinL of.
At first Board objected but
pointed out that sending
the data to Hoover was not a publieatien — that that would
be Hoover's responsibility.
Board voted to send the correspondence.
Oct. 26, 1932. 155.
Miller aid he heard that Gianini haa joined forces with
Sen. Hiram Johnson to attack Hoover on this.
Oct. 27, 1932. 157
6ee — Bank of Awerica.

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227.

Traylor, I.
N. Y. Times says, was one of those -:ho -:ere ).lowed to buy
Insull stock on the "ground floor".
Sept. 24, 1932. 118.
TrezLsury operations
See - U. S. Treasury.
Trust powers
Board took up question of granting, to City National Bank,
Chicago, the successor of the Central Republic Bank &
Trust Co.
Comytroller will grant charter but requires Board's action as to
trust powers before he will an7)rove '
,trust" as Dart of
title.
The old trust department of the former bank (Dawes bank) has
not been thoroughly examined. since Jay, 1931, but a
partial examination has been mad, since.
The new bank has same trust officer as the old bank, - but
Federal Reserve Aent says no is a capable man.
The bank asks merely for new trust powers and does not ask
authority to take over en masse the existing trust of
old bank, but will take them over gradually as new trusts.
The new bank takes over 72 millions of de-cosits of old bank
but will receive cash to saaue amount from the old bank, the
cash being furnished by the R.F.I and it agrees to buy
from the R.F.C. 15
of zood pa)er.
The rate of d?posits to e:pital is 14 to 1.
The Comntroller said ordinarily this would be too high but the
new bank will have cash to full amount of its deposits.
The only question before Board is Whether, in view of this high
ratio, it should refuse to grant trust powers.
The ratio is material only in cas. of claims against the capital
for negligence in managing the trust property.
The new bank is to receive no liability for trusts of the
old bank but pro,)oses to manage them, und r a contrc,
for the old bank, charging a fee for this service.

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228.

Trust powers (Contld.)
Some riuetion of liability has ,occurred in management of the
old trusts, and for this reason C.$.H. believes the new
bank is unwillinL; to assume liability for the old trusts.
James objected to ,he new bank takinc7 over the old trusts
without careful examinatiii; also to tpkin.7 back from R.F.:.
15 millions of paper pledged with it.
C.S.H. susted that as the new bank is not to assume liabtlity
for the old trusts it should publicly so state,
to which
'Tales a,7;reed.
It was also suggested that in buvin,7 15 millions of paper from
R.Y.C. the new banit: was merelym4ing new loans in effect.
0.6.H. suested new bank should LTee to increase its caoital if
and when necesf,ary.
James agreed to this as did also

j1ler by telephone.

Floyd Harrison said Gov. Meyer — away — had also alren,q agreed.
This made the vote in favor of granting trust powers unanimous.
The new bank in resnonse to Board's telegral agreed to notify mg
all interested in the old trusts that while it would
manage the old trusts, it would assume no responsibility
fax them, and t,e_t it would increase its canital if and
when necessary.
The Board accepted this and unanimously voted to grant the petition.
Oct. 5, 1932. 12), 124, 125, 126.
Board took up petition of Continental Illinois Bank& Trust
Co. converting into Continental Illinois Yational Bank
and Trust Co.
Present: Ja,:ies, Uagee & C.S.H.
Gov. Ueyer and Uiller had agreed to vote in favor.
C.S.H. was inclined to apnrove but regretted that earlier notice
had not been given to the Board in order to have Trust Dent.
-xamined before approval.
0.6.H. said he would ap2rove only on condition that the Board
officidly ask the Coaotroller in future to advise it at
once of any proposed merger so that the Bee.rd could
examine the Trust Dept.

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Federal Reserve Bank of St. Louis

229.

Trust powers (Contld.)
C..H. said the present state bank ha,. charged off 50 milLions of
losser',nd still h
a surplus of 25 millions; that the State
Banking Depart:lent said it had no criticism to make of its
trust operations; that he believed a transfer of the trusts to
the national bank would be for best interests of all the
certified trusts;that, as the mater must be settled .t once
he would vote, on the above conditi)n, for appm2al.
James said he would not vote to qpnrove.
Magee then put the vote:
Aye:
No:

.S.H.
James, .1a.;161 e

Neither Gov. neyer's nor niller's vote had yet been rocorded,
although Board by consent was meeting as a Board and not as
and Executive Coyiaittee.
Before any attemot to case Gov. neyer's and niller's vote had been
made, James naid he had confidential information, whose source
he declined to reveal, tl.!It in some of the trusts, Insuall
securities had been substituted, — a crillinal offense.
In view of this statecient sx.ie one ipaested a postponement
pending examination of the Trust Department by the Conr)troller.
The Comptroller sA.d a new low authorized such an examination,
altho the procedure had not yet been sent un; that he co-.21d
make a preliminary examination within 10 days.
James and all ac;ree:, to have the e:lamination made.
James then insisted that the Board's approval of the petition be
entered on the records.
The point was at once raised that Gov. Meyer's and .:aler's vote
had not been formally cast for approval.
James denied tA.s sayinc; that it had been agreed yesterday that
these votes gnould be considered as cast both for the Dawes
petition and for this one.
It was pointeu out that in view of James charges, Floyd Harrison
had not cast Gov. neyerls vote for ag)roval and would nct do
so.
James insisted that parliamentary law must be followed and that
the vote must be record, d, althoull he agreed that later a
motion to reconsider could be made.

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Federal Reserve Bank of St. Louis

2a).

Trust powers (Contl d.)
Again it was ,vpInted outtkiat only 3 votes had been actually
cast, 1 for and 2 a;Tinst.
James would not yield.
then determinel that as James wanted 1)arliftientary law
he would give him same.
then announced th:it he hereith chan,,:es his affirmative
vote into a negative vote, in view of James charges and
this move.:;. a post)onament of the ratter for 10 days :And
that Comi.)troller be requested to make at least a
preliminary examination, following W::lidh the Board could
determine its final action.
It was then suLgested that all questions as to exercise of
voting power for Gov. neyer and Liller be droned from
the record, leaving only 0.6.H.Is last motion for nostponement, but leaving in James statement that because of
lack of examination he would vote in negative.
James saw that C.S.H.Is ex7danation of his change of vote
would have exposed on the records his charges as to
substitution of Insull socurities,
which he did not want
in the record, and he consequently agreed that all should
be dro))ed out exce-ot the bare motion of 0.6.H. to nostpone
for 10 days pending examination by the Comptroller.
raotiiim was then -oassed unania.ously.
asked Com-)troller to examine carefully as to any
substitution of Insull securities.
and Floyd Harrison after the meeting com7ratulated
for his masterful handlin o "narliamentary law".
Oct. 6, 1932.
128, 129, 130, 131, 132, 136.
The Comptroller said the merger had not been loublicly a Nertised
and that the delay would not be el-alx-Irrassin-,.
Had 0.6.H. known this he would not originally have nNored
immediate zipproval. He understood the matter must be
sttled today.
Oct. 6, 1932. 13.
Mr. Laval o Continental Illinois Bank & Trust Co. called and
said that their trusts held only a small amount of
undLrlyin,!
:
- Insull securities, and that there had nev,r
been any substitution, as James had charged.
Oct. 6, 1932. 140.

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Federal Reserve Bank of St. Louis

231.

Trust powers (Contld.)
The Comptroller's report of examination will reach us by Friday.
liagee told 0.0.H. he .a.s about satisfied that we should grant
the permit, as did also Gov. neyer.
said it would be in the ublic interest to have tileir
trusts uxbrnati,nal bank control as the new law
authorized trust examinations by Comptroller.
Oct. 11, 1932. 140, 141.
Report of Federal reserve examiners and natiDnal bank examiners
was presented to our Board.
These renorts disclosed no serious irregularities in the Trust
Department. They disclosed that the only inve' tments in
Insull securities ere in und rlyine scurities which were
good; that certain trul;ts acquired by them contained
numerous investments in iunior securities, e.g. holding
companies, etc; that whilla the bank was not responsible for
acquiring them, yet it did not show •-ood judgment in
holding than, as they were not proper inve tments for trusts.
Chief Em,miner Paulger was present at the examination.
Paulger, our exaa ..ner and the National bank examiners all said
that the trust officers were good, satisfactory men, and
that the Trust De,?artment '7as being well managed; that
the officers broucht over from the Illinois Oom)any had
been for some time going to the front in the Trust Deot.
and that it was nor being managed more conservatively than
heretofore.
They all agreed th It Board should grant the petition and said
that the Actin - Com2troller would so advise the Board.
They said the new bank had promptly to obey any suggestion from
the Catroller as to the trusts.
Board voted to grant the petitioa.
Aye:

Dr. Ialler over
qov. eyer, C.S.H.,
tele)hone)
Oct. 16, 1932. 142, 143, 145, 1.6.

See - nanhattan Company.

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Federal Reserve Bank of St. Louis

Tumulty, J.
Is one of preferred list allowed to subscribe to Insull
securities on the "inside".
Sept. 24, 1932. 118.

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Federal Reserve Bank of St. Louis

233.

Uniform bariting system.
See - Wyatt.
-

185.

iform discount rates.
Board rule that rates undr Federal reeme direct loan
nru- t be the sae throughout the District for same
class of paper, but classification could be maae at
lower rates.
Aug. 5, 1932. 73.
Board advises Federal reserve banks that A.though it had
an-)roved a 0 rate for Federal reserve direct loans
at four or more- Federal res,Tve banks, it did not intend
to fix this as a uniform rate.
Aug. 10, 1932. 76, 77, 78, 79, 84.
See - Federal Res rve Bank, Boston

C.S.H. aDproved a fixed uniform rate on Federal : ec. rve
direct loans.
Aug. 19, 193. 87.
U. S. Chamber of Connerce
niller opl)osed 0.6.H. suggestion of Harry Wheeler of Chicazo
for Federal Reserve Board on ground that he was a '
,lame
duck" in banking and was a U.S. Chamber of Commerce man.
Sept. 1, 1932. 101.
U. S. Senate.
33 (3).
See - Federal reserve direct loans.
Semite
U. S. Trasuxy
C.S.H. said there .as cont)laint that by its nurchase of
Government securities the Federal Resrve Systeu vas
discrtainating against accentances and f.vorin the
U.S. Treasury operations.
June 2, 1932. 10.
See Secretary of 2reasury
Wyatt

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234.

Vetoes
Miller strongly advised Gov. Meyer not to a:ise 'oo. cr to
veto the 'All containin„: the Federal re F: ve direct
1,oan amendment.
July 1, 1932. 34, 35.
Hoover was strarte.y inconsistent in vetoing the first relief
loans to indivijuals,
bill because it provided for R...
while he approved loans of 90 millions to Seen tary of
Ariculture for direct loans to farmers.
July 22, 193P. 47.
Glass said he could have asked Hoover to veto the Home Loan
bank bill because of its inclust)n of new national bank
notes against Government 73onds 119 to 6-1/8.
Ju....y 22, 1937. 48.
Vice Governor, Federal Res rve Board.
Hoover has never an,y,inted a.
Aug. 31, 1962. 99.
C.S.H. said Hoover long ao should. have ar))ointed a, but
Miller seemed to think this unnecestv ry.
Sept. 1, 1932. 101.
Votes
Senate di!feated motion to I-zee:7 Glass bill in its preferred
position on the ca lendar by a vote of 44 to 25, 27 not
voting.
A strictly Republican 7oartisby. vote.
June 15, 193. 3.
Bo -,rd voted aff:Anst ,2,)-)rovin cr the Fedcral res -rve di .ect loan
azienclment.
Aye: 0.6.H.
Miller, James, ,
:;ozptroller.
J.6.H. thinks Gov. Meyer did not vote, but if he did he voted
July 9, 1957. 33 (2)

Miller prepared an amendment to regulate liaitin Federal
rerve direct loans to naner actually owned by individuals,
etc. This would have excluded direct loans.
Board voted this down unanimously, except Miller.
July 26, 1932. 52, 53,

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Federal Reserve Bank of St. Louis

235.

Votes (Contid.)
Board dif‘approved nrof,os -d r,i.lary reduction at Federal Reserve
Bank of New York and Richmond..
Aye:
No:

Mills, Gov° Meyr, C.S.H., Janes, Magee
Miller.
July 29, 1932. 67.

Board disL)roved -,)-,ointment of Everett Case, son of Chairman
Case of Federal Res erve Bank of New York, and son-in-law
of Owen D. Young.
At first Gov. Meyer fvored it.
Auc. 24, 1932. 91.
Board voted not to send to Hoover a star,ement by Gov. Young on
Nov. 20, 1929, that conditions were sound.
C.J.H. alone voted Aye.
Sept. 1, 193. 107.
Petition for trust Dowers.
Continental Illinois Bank & Trust Co.
0..H. voted Aye.
Liaee & Jaaaes voted No.
C..H. changed vote to No and moved post-)oneLient for 10 days
pending examination by Comptroller.
Pas:Led unanimously.
Oct. 6, 1932. 129.
Board voted to grant above netition:
Aye: Gov. Meyer, C.i.H., Magee, Mill
(by telephone)
James was away in Southwest.
Oct. 13, 1932. 1(6.
Lllen Leonard told Rachel Hale that :!a.ry
ller told her that
Dr.
told Hoover he snould vote for Roos,-velt.
Oct. 30, 1932. 159.
Miller told C.S.H. the other day that to vote by mail in
California one must register, and that he was prevented
from zointr, to California to rer;ister.
Oct. 30, 193. 159.
Vote of certain cape towns in Presidential election of 193:
Hoover
Roosev-lt
Mattapoisett
469
196
:4arion
496
169
Fairhaven
1942
1448
An astoundin- jelAocratic 'ain over 1928.
:ov. 9, 193: • 165.

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Federal Reserve Bank of St. Louis

236.

Votes (Cont d.)
Conference of Governors and Federal Re2crve A,..ents voted 20 to 4
against .'eduction of sal..ries.
Nov. 18, 1932. 171.
iiiller voted to postpone vote on adraitting lianhattLitn Coml.)any
because of Gov. Meyer's lekLvine, the meeting.
1:ov. 19, 1932. 177.
Board votea to
Aye:
ro:

dmit on certain conditions:

Gov. 1,:erer, 0..H., ::ills, Magee
James
Nov. 21, 1932. 184.

Board votes to inter.)ose no objection to each Federal feE:rve
bank settling salary re...?uctions in its own way, subject
finally to Board's approval.
Aye: Gov. Ileyer, Millcr, Magee, James
No:
Nov. 26, 1932. 189, 190.

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237

Via;3es
151.
Sea — Bread an! butter
Hoover
Salary reduction
Walker, Liayor, New York.
Essay said he has had a conference A.th Gov. Roosevelt aad is
confident he will renove.
Woolley.
July 24, 19)2. 50.
Wool Ley said Farley and Ho e told Roper Gov. R. would not think
of removing.
July 24, 1932. 50, 51.
*Jalker—Gianini controvarsy. 103, 104.
See — Meyer, Gov.
Walsh, Federal :::teerve Agent, Federal Reserve Bank, Dallas
Voted against resolutim opposing salary reductions, in .i.oint
conference.
Nov. 18, 1932. 171, 190.
Walsh, Sen. (nass.)
a rally in iew Bedford, eulogizes H.P.H. and asla3d audience to
rise in her honor.
Nov. 196'. 163.
Warburg, Jere. 176, 177.
See — ,anhattan 30.
Warb,rg,
said, prevented Gov. nerr from being Tat on Federal
Reserve Board in 192; that Warburg was a Jew of higher
caste and looked down '7)11 ov. neyer.
Sept. 1, 1932. 102.
Warier, Ellen
See — Leonard, Ellen
Warning of Federal Reserve Board, 1929.
Board voted to send, to Strother, Secretary of Hoover.
Sent. 1, 1932. 106.
Warren,
nrs. Cne_rles
We call on.

June 18,1932. 5.

dines with, at Cos:los Club.
July 21, 1932. 46.
U.S.H. dines with,

t "etre -,olitan Club.
July 25, 1932. 51.

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238.

Warren, 14r. & Ors. aalrles (cont.)
Rachel Hale invites 0.8.H. and, to dinner.
July 29, 1932. 66, 67.
Spend night with us at nattapoisett.
Julzr 51, 193?. 68.
Rachel Hale invites C.S.H. aml,, to linner any niL;ht next week.
19, 1932. 85.
We postione dinner 1,ecause of Rachel Hale's illnes .
Aug. 22, 1932. Eib, 89.
C.S.H. dines L-t 02&103 Club with.
Aug. 4, 1932. 94.
0.6.H. calls on I\Tancy Warren.
Oct. 5, 1932. 126.
C.S.H. takes supper with.

Oct. 9, 1932. 135.
Oct. 29, 1932. 159.

C.S.H. dines with.

Nov. 16, 1932. 109.

Took tea with.

Nov. 22, 1932. 187

Washington Conference
Business & Ihdustrial Committees.
0.- .H. and :Aller feel that if we could hv.ve had a, to arran/rre
7rogram for the Federal Reserve District Committees,
matters would have progressed further.
July 6, 1932. :)4.
Hoover invites O.S.H. to.

Aug. 15, 1932. 63.

The 11,trio -Go District Chairmen met all day in Board room with
::ilis and Gov. ileyer.
No other Board member was invited1
is incldned to believe that Democrats are no wanted!
Aug. 25, 1932. 94.
Conference met in De.)t. of Commerce buildin. Irrious cabinet
mrabers and Boards were reoresented.
Hoover, 22-ov. I4eyer, et al. uelivered addresses.
An Excative Ca.imittee apoointed to supervise t'ne work of
Business an- Inuu:Arial Colamittr-es.
Aug. 24, 1932. 95.
Gov. ::eyr not at afternoon session.

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Washington Conference (Contld.)
He came into 0.:J.H.Is office and said he had kept in the
background as the whole ma_er was enktneered by ::ills
and Owen D. Young.
Auc. 24, 1932. 95.
and James aid all of the delegates were very angry as
they hoped to discuss many eertinent and im)ortant.
questions, but that .11 they e;ot were long prepared
essays aria a Hoover resolution offered by Lonsdale of
St. Louis strongly praising Hoover.
C.S.H. believes the Conference was purely political to help
Hoover.
Hoover made an awful break
the "failure" of the
before the press got
2/1 1and" which meant

in his address, referring to
Lank of England, but this was corected
it, so as to read "the failure of
nothing.
Aug. 24, 1932. 97, 98..

The conference was a failure ouine7 to fact that it was taken out
of the hands of the Board by i±l1s and Hoover.
Aug. 31, 1932. 100.
:liner said that when he exelained to Hoover the necessity for
the Conference prior to the appontment of the Busdness
and Industrial Coamittees, Hoover said that Gov. Meyer
would be of no help; that he must put this throuHh instead
of the Bal rdt
Sept. 1, 1932. 101, 102.
:43verett Case, son of Chairman of Federal Reserve Bank of 1:ew ..ork,
turned down by Board for a position under Federal Reserve
Bank of New iork, bobbed up serenely as Executive Secretary
of the Conference!
Se)t. 1, 1932. 105.
Wheeler, Harry
said that, originally
President Wilson, would
Reserve Board; that his
in control did not keen

zrn)ointed on Federal deserve Board by
like to be ap )ointe_L on Federal
bank h(1. been meremd and that those
him.

C.S.H. said he thoui7ht it would be a good a:),-)ointment.
Miller said he was a U.S. Chamber of Commerce man and din not
ay)rove him.
Sept. 1, 1932. 100, 101.

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240.

Wheeler, Sen.
Objected to having Glass bill keen is nreforred place on the
Senate calendar.
June 15, 1932. 3.
Whiserin.7 camoaign
Delano said there was a, during the caml)aign to effect that
Roosevelt did not have infantile paralysis but was.really
sufferin from venereal disease.
Nov. 19, 1932. 177, 178.
White, Henry
rrof. Nevins writes 0.6.H. that there was no mystery in the
auission from his book of the letter C.S.H. gave him from,
praising lirs. 'iilson; that the pool: had to be cut down
by 50 pages, necessitating the
June 17, 1932. 4, 7.
See — Wilson, Mrs.
,Liue House. 64, 35.
See — Federal reserve direct loans.
White House conference. 147, 193.
See — Gold standard
Hoover.
Wiggin,A.
Floyd Harrison told O.J.H. that, agreed with J.S.H. that the
pronosed cotton loan fund was like the Cotton Loan of
1913.
Auc. 4, 1932. 71.
Wilbur,
La's. Delano told Bertie
wife of Sec.
told hr
that Hoover fully expected to be reelected and. became
dazed and Et 1:10S t collapsed whmahe realised his 1 feat.
1Tov. 20, 193.2. 182.
Williams, Constance (Lodge)
RacaelKale reads C.J.H. a letter to 11,-.r from, oitterly
attacking Gov. RoosTielt as a conceited ass, etc.atc.
. 4, 1932. 72.
—rs. Woodrow
rrof. :Tevius wrote 0.S .H. tnat tdere was no mystery about the
omission from his book on Henry White praisin: drs. Wilson
in highest degreH, — a ccur of thidh C.S.H. gave 111.1;
that the reason was tne necessity of cutting down the
book by 50 pages.
June 17, 1932. 4.

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241.

Wilson, 1:.rs. Wooarow (Contld.)
j.L).H. sent this letter to hrs. Wilson as ohe as.::ed him to do
when he tolu -Aer aoout it at Port nyer.
He said. "lack of space" sameti-les covers a multitude of sins.
He LtSked her to return it after reading it, :Ala said. he thoucht
he had sent her years ago the original, but if she did
not have it, he would send her a coy.
June 17, 1932. 4.
'Alson wrote
a very cordial letter returning Prof.
Nevins letter pointing out that Prof. Ilevins does not
ouection bu': avoids it.
answer
She asked J.S.H. to sena her a copy of Henry White's letter as
sne could not fina it.
June 1J, 1962. 7.
Writes 3..).H. she is quite sure he never sent her the original
of Henry White's letter.
She ., 3aid she was just starting for the National Democratic
Convention t Chicago.
June 22 192. 11.
Wilson, WooLrow
Houtthton told 3..H. that once he spoke to Hoover abut, ana
that he said Wilson was one of the greatest men in the
world until he became insane and wanted to rule the :orld,
and wantee Hoover to help him.
Aug. 8, 192. 75.
Henry Wheeler of '..:dicaL'o first anyAnted by, on 2ederal Resrve
Board, but who :tclined, now would 1117.0 to be reappointed.
Sept. 1, 1932. 101.
See — Wheeler, H.
Woman's National De.:ocratic Jlub
Q.55.H, goes with 21eanor Co:inolly to a suer at, to hear
aelegltes at II-ational Jemparatic ,onvention.
July 10, 1932. 29.
Woolley, Robert
0.6.H. calieL on,
He had just seen vol. House a wee:T:
nolley :aiL:
1.

-o in :ew :oe4.

.:(31. House L;aid 2.00sevelt visited hLm at Beverly
Pallas una agreed on a plan of campaign unler

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Federal Reserve Bank of St. Louis

242.

Woolley, Robert (Contld.)

which the states were to be iven full
recognition, but that, a few duys later, he
announcee a radically uifferent plan leaving
the State Committees practically isolated.
Woolley showed me Co.. House's letter e2:eressing his
keen disap_ointment.
2.

Essay, a correspondent of a Baltimore paper, said he had
had a conference with Roosevelt and was satisfied
he would remove :layor Walker.

3. Farley and Louis Hove tolu Roper said Roosevelt had never
even thought of re-eoving Walker.
4. ::,cAdoo, before turnin7, over California and Teeas to
Roosevelv, said he expected to be consultea as to
Secrete::: of
ap2einteent of Secretary of state

Woolly saiu this was not a coneition but merely an under—
standing, not binding on Roosevelt, who merely
promisee. to consult hile.
Ju.z,r 24, 1932. 50, 51.
Wright, Henry, Westford
Called with his son en us at Mattapoisott. Said 2mma Abbott
(Atwood) died several weeks ago.
Aug. 13, 1932. 50.
Wyatt, Walter
Counsel of iederal ae:eeve Board.
Board took up regulations prepared by, for Zit. direct loans.
July 12, 1932. 66.
Told C.;:;.H. that Morrill asked Cllass if he intended by his
amendment to perreit direct aevances to individuals
and that lass said Yes.
July 14, 1932. 29, 40.
Helped C.S.H. draw letter in opeosition to -eroT)osed calory
reduction of Federal Reserve Bank of :7ew
July 25, 1932. 51.
C.S.H. dines at c;oselos Club with.
July 26, 1932. 57.

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Federal Reserve Bank of St. Louis

246•

Wyatt, Walter (Contld.)
Prepares me...orandum snowing that discount rates on Federal reserve
direct loans must oe si.tme throuhqut the District for NTle
1- m..ue takinL
class of paper, but that classifications can .e
district.
a lower nate, but the sane throucjhout the
This negatives claim of Federal Reserve Bank of New York for a
spread in different parts of saue district.
Aug. 2, 1932. 69, 70.
Told 3.'S.H. that Howland Chase was doing very good work and. would
prove to be a very valuable mauber of the staff; that his
work in getting Treasury rulini;s as to staup taxes was
really masterful.
Auz. 4, l*T. 71, 72.
ReDeate-

bove.

Oct. 6, 1.9,2.

Wyatt ha- dined with 1::r.
Tola 0.J.H• that he ana
Howlanu Chase a few inys ago at "His Lordship's Kindness',
that Rachel .iale was ,N‘ray.
Oct. 8,
Saia that last June tne Treasury asked his oinion whether the
TrL,Aiing with he Znemy. Act was still in force, Jiving
Presid, nt authority to embz.rgo gold expo2ts, etc; that
Gov. Lleyer tola hill it was a moot question Lula not to give
an opinion; that later the Treasury asked an opinion from
thinkn he saiu Attorney General WAO replied that i was 1:till in off ct.
Wyatt said that at that time sons of Treasury officials faarea
we wore going oft the gold stanl:rd.
Oct. 13, l9J2. 14, 145.
Told

he had heard a ruAor that lov.L.eyer would resic71 if
Roosevelt were elected; that hethoucht 'Joy. Me -.r was
distrustful of the rdevi Secret xy of Treasury, whoever he
might be; thathe also feared he mi6ht lose his designation
as GoviJr•or of tile Board.
Oct. 29, 1932. 158.

Said Gov. ::ey - r once told some one he shoule. not resign vihile
Hooer held office.
Nov. 14, 192. 18.
Told. Board it coula not admit Lianhattan Omoany until it had
disposed of its holdins of stedk in
other banks.

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Wyatt, Walter (Contld.)
He aciLtea, however, it would be legal to admit it on a condition
subsequent to dispose of its holuin s it':11n a 1.easonab1e time
after admission.
Nov. 18, 19. 17u.
Told C.S.H. sol;:e days c.go that Gov. neyer inserted ia his
legal olAnlon as to porer of Uongress by confinine it to .
power to force all banks to nationalize ana by leavin6 out the
part holding that Congress coul:i. force all banks to join the
iederal Aesrve S:isten.
stronly objected.
4att ,;aid Floyd lic.rrison mode hill recast part of his oianLon so as
ov. ,,ieyeris name earlier in the ojinion as oe1ievi.1,:
to urii
_n unification of Janking.
77att sai
ov. Leyer favored unification _s far pack as 1922
ancl that 2loyd Harrison insistect on having this put into his
ojinion.
Nov. 2, 1932. 185.

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24o.

-y_

Yale Uni,ersity
Gives L.L.D. to Gov. .1eyer.
he deserved taisbecause of his work on R
June 23, 1932. 13.
Young, Croy. Federal Reerve Bank, Boston
Governor:. Jenference.
Said ,hat although orizinally o'i)ose,_!. to lar:e open m4,rket
operations anu might now vote to aiscontinue this if that
- hought it
were the sentiment of the Conference, yet he .
each
si.curities
Government
of
little
a
buy
to
wise
be
micht
week so that the public would not feel that we had chaned
our open market policy.
July 14, 1932. 41
the Federal reserve
Told ';.:11. that at first 1,e was op:-)osed
direct loan amendment but that on further cnsideration he
was inclined to think it a very wise measure.
July 14, 1932. 41 (2)
-J.S.H. moved to sena Hoover, in response to his request, throucjh
Strother, all corresponLence etc. of Board relalding to
speculatisin, - a co-y of a statement given out by Coy. Young
at White House just after a conference between hoover and
PeL,eral 4,dvisury 3ounci1, on -ov. 20, 1929, that conditiuns
,as available.
were sound and that
Sept. 1, 1152. 106, 107.
Sends 0..H. a letter from Dennett to effect that credit
conditions had ; reatly imorove:L in First FederalReserve
Sept. 28, 1922. 119.
district.
Lunches with

S.H. at ..:attapoisett.
Oct. 2.

1b4.

osing salary cuts.
:
Voted against resolution In Covrors Conference oj
Nov. 18, 11). 171, 190.
See -ieyer, Toy. 180.
Youn, Owen 2.
Favored buyirk; Govt, securities to offset those run:iing off as
otnerwlse public might think we haL given up our open mk,th...,t
policy.
192:l. 19.
July
;.o.H. has a half hour's talk with.
He seamed

leetsed at Hoosev -lt's noLi;.n tt.m.

246.

Young

Owen D. (CentI d.)

He said many might not agree with Rooeevelt on some policies
but that all eecoi4nized his u-)ri ht char: cter and. henesty,
and felt sure he would not turn out to be a destructive
radical; that he sLoula send him a personal note, not to
be -2ublishel, and arrange for an ineervie7; that later
he o ac. come out for him puolicly.
July 6, 19t):'.
He told 0..H. of his interview with Insull during which he told
Insull he must resign; he said that it was the hardest task
he ev r had atteeeeted; iat Insull finally said tnat he came
to tteis counry on a ship ithout a penny, nu t.zet now he
would sail back without a eenny.
July 5, 192. 20, 21.
that the tide was turning; that the people
He aGreed with
had no confidence in :ioover, hether rightly or wrongly;
that he felt that Roosevelt would have the progressive
forces of tne country soliely behind him; that a revolution
was coming, not of exteame radicelisra out of e ne oruer.
July 5, 1902. 21.
Called on J.S.H. in Washington.
He said he was at the Fe. 'al Res :Tye Bank of "Zew York with
Ogden ..,ills, and Harrison, anu that they were very much
disturbed over Glass's Federal reserve direct loans
amendment; that ?Toy. Harrison said that while it was all
right in principle, this was a eloot inop2ortune time to
try to enact it into law.
Youn

said he :old them he was much plee.sed eith it, that it
would enable the Federal reserve bank to oreak the credit
embargo; -.,:eat after a while Lillis tele-Loned. .:oover that it
should be passed.
July 28, 190: • 60, 61.

U.S.H. told Young that his erediction that the tide would turn
had come true, enc. Young agreed.
July 28, 1902. 61.

•

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•

0.6.H. then told hire that the action of the Federal Reserve
Bank of New York directors in asking for salary- redactions
simly astounded him; that tne request could not have seen
based on bankin,; c snditions but merely on sympathy with
econaeic conditions troighout tne country; that as to
banking conditions, he ordinarily had greet respect for the
directors judGment, but that as to economic enditions he
pref ,rred to folio., his own judjaent.

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247.

Young, Owen D. (Contld.)
Yount; said Reyburn was back of this movement and that he
wanted even a heavier cut.
0.6.H. sLAd if this cut were approved, the other Federal
reserve banks would follow, and, that following August 15th
the date on thich they wanted it to take effect, taere
would be 12 heavy blows at the country's prosperity; that
the country would fear that conditions were growinL; worse
as wrong in the Federal Refrve System.
anL aiat somethin
He adm_tted that it might set back business for years.
O.S.H. said no private corporation earning its dividends and
adding to its surplus, would think of reducing wages; that
the iederal Reserve Bank of New Zork was doing this.
Young -greed to this.
Young asked O.S.H. what disposition he would like to have made
of the ap?lication.
j.S.H. said the l'eder-1 reserve bank ait ask Board to let it
lie on table for the present.
C.S.H. feels he made some impression on Young.
July 28, 193. 63.
son
Board disapproves proposed appointment of laverett
Owen
of
D.
son-in-law
and
of Chairman Case,
Young, by
New
of
Bank
York.
Federal Reserve
Aug. 19, 1932, 87,
Aug. 24, 1932. 91.
Gov. liver says Washington Conference of Business ana Industrial
aria Owen D. Young.
Committees was engineered by .loover,
Aug. 26, 1932. 95.
Was given "inside" preference by Insull in buying stock in his
companies, along with others.
Sept. 24, 1932. 118.

(The end.)

Full text of Diaries of Charles S. Hamlin : Index-Digest of Charles S. Hamlin Diaries, Box 35, Volume 21, Reel 20, June 12-November 26, 1932

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