View original document

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

F E D E R A L R E S E R V E BANK
O F NEW YORK
Fiscal Agent of the United States
r Circular No. 4 1 7 5 1

L December 27, 1954 J

COMMERCIAL BANKS MAY OWN 2y2 PERCENT
TREASURY BONDS OF 1967-72

To all Banks and Trust Companies
in the Second Federal R eserve D istrict:

We quote below from the text of a statement made public today:
The Treasury announced, effective January 1, 1955, the removal of the restrictions against bank
ownership of the outstanding 2y2 per cent bonds of June and December 1967-72, amounting to
$1,888,000,000 and $3,820,000,000, respectively. These are the only two issues of marketable securi­
ties sold during W orld W ar II which are not now eligible for bank ownership. The removal of
the restrictions will provide a broader market for these securities.

The restrictions are removed by Treasury Department Circular No. 942, dated December
22, 1954, a copy of which is printed on the reverse side.
Additional copies of this circular will be furnished upon request.




A

llan

S

proul,

President.

( over)

R E M O V A L O F R E S T R IC T IO N S A S T O O W N E R S H IP O F C E R T A IN T R E A S U R Y
B O N D S B Y C O M M E R C IA L B A N K S W H IC H A C C E P T D E M A N D D E P O S IT S

1954
D e p a r t m e n t C ir c u la r N o . 9 4 2

TREA SU RY DEPARTM ENT,
O f f ic e

F i s c a l S e r v ic e
B u r e a u o f t h e P u b li c D e b t

I.

of t h e

Secretary,

Washington, December 22, 1954.

E N U M E R A T IO N

OF

DEPARTM ENT

C IR C U L A R S

AND

T R E A S U R Y B O N D IS S U E S A F F E C T E D

1.
The Department circulars affected by this circular and the Treasury bonds which they
govern are as follows:
No. 768— 2Y2 per cent Treasury Bonds of 1967-72 (dated June 1, 1945)
No. 776— 2^2 per cent Treasury Bonds of 1967-72 (dated November 15, 1945)

II.

R E M O V A L O F R E S T R IC T IO N S

1. Each o f the circulars enumerated in Section I hereof provides that the bonds issued
thereunder may not be transferred to or be held by commercial banks, which were defined for this
purpose as banks accepting demand deposits, before June 15, 1962, and December 15, 1962,
respectively, except to the extent and in the manner set forth in the governing circulars. All
restrictions against the ownership by commercial banks of the bonds issued pursuant to said
circulars are hereby removed, effective January 1, 1955.




G. M. HUMPHREY,
Secretary of the Treasury.