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1 4.<0 OT A meeting of the Federal Reserve Board was held in the office of the Federal Reserve Board on Tuesday, April 1, 1930 at 11:00 a.m. PRESENT: Vice Governor Platt Mr. Hamlin Mr. Miller Mr. James Mr. Cunningham Mr. McClelland, Asst. Secretary The minute!) of the meeting of the Federal Reserve Board held on :.larch 31st were read and approved. The Vice Governor stated that special order of business for this meeting is a hearing to show cause why the American Bank and Trust Company, Paris, Arkansas should not be required to surrender its stock in the Federal Reserve Bank of St. Louis and to forfeit all rights and privileges of membership in the Federal Reserve System. No one appeared on behalf of the said American Bank and Trust Company, Paris, Arkansas, at the said hearing before the Federal Reserve Board, under the terms of Section 9 of the Federal Reserve Act. It was the consensus of opinion of the members present, from consideration of the evidence and information received by the Board, that the American Bank and Trust Company, Paris, Ark., has failed to comply with the provisions of Section 9 of the Federal Reserve Act in that it has not maintained with the Federal Reserve Bank of St. Louis the reserve required by the Federal Reserve Act, and its membership in the Federal Reserve System should, therefore, be forfeited. Certain members, however, questioned the advisability of making the forfeiture of the bank's ridits and privileges of membership effective at a future date, such as July 1, 1930, recommended by the Executive Oommittee of the Federal Reserve Bank of St. Louis. Accordingly, the matter was referred to the Committee on District No. 8 with the request that it advise the di-. 4/1/30 9 rectors of the Federal deserve Bank of at. Louis of the feelin of the 3oard as set out above and, after communicatin7 with the 3t. Louis Directors, submit its recormendation as to action to be taken by the Board. Ietort of Committee on District 5 with regard to plans for the proposed addition to the _tichmond building presented by Mr. Delano at the meeting on March 31st, the Cormittee submittin draft of a letter to the Chairman of the Federal deserve Bank of :iichmoni, advising that the Board will interpose no objection to the bank proceeding to ask for bids on the basis of these plans, rerfardine; which it has no su7gestions to ma"ee,but that when bids have been received the proposal which the Board of directors desires to accept should be first submitted to the Federal deserve Board for approval, together 110 with an estimate as to the amount which it is proposed to eYpend for furnish1n -7s and fixtures in the addition. 11:.on motion, the letter submitted bi the Committee was approved. Draft of reply to letter dated March 24th from the 2resident of the First National Bank of Boston, which was discussed at the meeting on March 27th, regarding the possibility of arran-emmts being made for examinetions of the First - oard's 2xaminers, the expenses lational Old Colony Corporation of Boston by the B of such examinations to be borne by the Corporation; the letter setting forth certain reasons because of which it is not felt that the Board could properly undertake examinations of the Corporation in question. Durin- the discu3sion which ensued, certain members of the Board suggested some Mange in the statement of the recoms for the Board's position. The letter was referred back to the ,, ..overnor for revision. 4j1/30 RT3 OF 31 Dated, April 1st llecorm-:enJin:-a cthane in stock at a Fedoral deserve an'r.. as set forth in the Iluxiliary LTinute 3ook of tliis date. Rocornenciation approved. The me tinp: adjourned at 12:15 p.m. 60z6/ Assistant :3ecretarz!.
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