Full text of Federal Reserve Bank of St. Louis Circulars : Amendment of Regulation T, Series of 1934

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FEDERAL
of

RESERVE
S

t

BANK

. Louis

July 29, 1935.

A M E N D M E N T OF
R E G U L A T IO N T , SERIES OF 1934
R e Extension and M aintenance o f Credit by Brokers, Dealers, and
M embers o f National Securities Exchanges

T o mem bers o f N ational Securities Exchanges, to brokers and
dealers U'ho transact business in securities through such members,
and to the m em ber and nonm em ber banks, in D istrict N o. 8:

There appears below Amendment Xo. 5, of Regulation T , adopted by
the Federal Reserve Board July 29, 1935.
A m endm ent N o . 5 o f Regulation T — Effective A ugust 8, 1935

Subsection (e) of Section 8 of Regulation T is hereby amended by adding
a t the end thereof a new paragraph reading as follows:
“ In the event of the transfer of an account from one customer to another,
such account may be treated by the creditor for the purposes of this
regulation as if it had been maintained for the transferee from the date
of its origin: Provided, That, if the account be a restricted account, the
creditor shall have filed a report with any regularly constituted committee
of a national securities exchange having jurisdiction over the business
conduct of its members, of which exchange the creditor is a member or
through which his transactions are effected, reciting the circumstances
of the transfer and stating, as of the time of the transfer, the adjusted
debit balance of the account and the maximum loan value of the securi­
ties in the account.”

Respectfully,
JO H N S. W O O D ,
Federal R eserve A gent.