View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

WISCL.

14.

2 G M- 1 0 12 5

FEDERAL RESERVE BANK
O F D A LL A S

N M
U BER 24

O ctober 1 5 th , 1915=

TO THE M BER E M ADDRESSED:
EM
Under the p r o v is io n s o f S e c tio n 19 o f the F ederal
R eserve A c t, the re s e r v e r e q u ir e d t o be c a r r ie d by member banks
w ith F ederal R eserve Banks w i l l , e f f e c t i v e November 1 6 th , 1915,
be in c r e a s e d as f o l l o w s :
Banks not in re se rv e or c e n tr a l r e s e r v e c i t i e s
s h a ll h o ld and m ain tain f o r the su cceed in g s i x months t h r e e t w e lft h s in s te a d of tw o -tw e lfth s o f t h e ir r e q u ir e d le g a l r e ­
serv e o
Banks in r e s e r v e c i t i e s s h a ll h o ld and m aintain f o r
the su cceed in g s in months f o u r - f i f t e e n t h s in s te a d o f t h r e e - f i f ­
teen th s o f t h e ir r e q u ir e d le g a l re se rv e *
A fte r c o n s id e r a t io n o f the changes th a t have taken
p la c e in the gen era l banicing s it u a t io n s in c e the i n i t i a l re se rv e
payments were c a l l e d , i t is f e l t th a t the p r i v i l e g e o f e s ta b lis h *
in g the n ecessa ry in c r e a s e d bala n ces by t r a n s fe r s from funds now
on d e p o s it in c e n t r a l re s e r v e c i t i e s sh ou ld be a,ccorded, and
d r a fts on members o f the F ederal R eserve System in Now Y ork,
Chicago and St* Louis w i l l be a ccep ted at the cu rren t r a te o f ex­
change a p p lic a b le on the date o f r e c e ip t *
R eserve accounts may a ls o be in c r e a s e d t o th e p r o ­
p e r p r o p o r tio n s by shipments o f g o ld or la w fu l money, or F ederal
R eserve Notes*
CHARGES M
UST B PREPAID*
r>
GOLD C0I1® FALLING BELOW THE LIMIT OF TOLERANCE IN
WEIGHT WILL BE ACCEPTED AT BULLION VALUE ONLX, AND SHORTAGES WILL
BE CHARGED TO THE ACCOUNTS OF THE SENDING BANES•
E lig ib le paper conform ing w ith the F ederal R eserve
Act and r e g u la tio n s o f the F ederal R eserve Board may be a ccep ted
in payment o f n ot e x ceed in g o n e -h a lf o f t h is in sta llm en t# Such
paper must bo subm itted f o r d iscou n t on our r e g u la r a p p lic a t io n
b la n k s , and s u f f i c i e n t tim e allow ed f o r a c t io n on same by our
E xecu tive Committee*
I t is urged th a t member banks take cogn iza n ce o f
the in c r e a s e d requirem ents s h o r t ly t o become o p e r a tiv e and
p rom p tly pla.ee s u f f i c i e n t a c c e p ta b le funds on d e p o s it w ith t h is
bank t o make t h e ir r e s e r v e in ta c t#
R e s p e c t f u lly ,
R# L* VAN EANDT,
Governor

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

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