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Upon call of the Vice Governor a special meeting of the Federal Reserve Board was held in the office of the Federal Reserve Board on Friday, April 11, 1924, at 12:25 p.m. PRESENT: Vice Governor Platt Mr. Hamlin Mr. Miller Mr. James Mr. Cunningham Mr. Eddy, Secretary The minutes of the meeting of the Federal Reserve Board held on April 9th were read and approved. Merrorandum dated April 11th from the Division of Examination, translkitting the application of the Bank of Ft. Bidwell, California, for surrender Of stock in the Federal Reserve Bank of San Francisco, standing in the name °t the Surprise Valley Bank of Cedarville, California, and suggesting that the application be referred to Counsel for an opinion as to its sufficiency. Referred to Counsel. Report of Corrmiittee on Salaries and Expenditures on matter referred tO it at the meeting on April 9th, namely, letter dated April 7th from the l'easral Reserve Agent at Chicago recommending a fifteen-day leave of absence, 14 addition to regular vacation, for Mr. W. C. Schrader, assistant to the 'Assistant Federal Reserve Agent at Detroit; the Committee recommending that the Board raise no objection to granting the request. Approved. Letter dated April 9th from the Federal Reserve Agent at Philadelphia, advising of the resignation, effective April 30th, of Mr. Walter T. Grosscup, 11421ager of the Department of Bank Examination and Assistant Federal Reserve 4/11/. Cent, and reJuesting approval of the appointment of Mr. Clarence I. ..elfinger . per as Manager of the Department of Bank .1:4,:amini,tion at a salary of :''6,000 annum. Upon motion it vz.s voted to rTprove the appointment of Mr. .::.01finger at the - :lary named. 2he Vice ',lover-or then presented the matter ordered circuit ted at the inseting on Irril 3rd, namely, letter dated. March 26th from the Chainfrin of the eclorcl Zeservo Bank of San Francisco, enclos copies of letters exchanged the Bank of Italy, on the subject of reserves against time deposits of the Bank of Italy. 'Referred to the Law Committee .'or report. 2eort of Committee on Salaries and L1::penditures on matter referred to it at the meeting on March 6th, namely, letter dated February 25th, signed bY the directors of the Federal deserve Bank of Philadelphia, re :uestin'; rec°11siderLt ion by the Board of its action in disapproving increases recommended ill the salaries of six Assistant Cashiersof the bank; the Committee stating the Opinion that Lho Board should not give consideration to increa3i1;'; the aalaries of officers of the hhiladelhic bank until the general operating exPonses of the bank are brou;ht more in line ith the operating exenses of °.rile of the other Federal :Zeserve banks. Ordered circuit ted. lieport of Committee on L'camirmt ions on letter dated _rril 7th the Federal eserve :gent at Cleveland, transmitting the application "the Commerce Critv.rdizm '2rust andSavings Bank of i1oledo to establish a * 1 ,71ach t j;outh nd Spencer Streets, 2oledo, and advising that the a- plicat ion i; 1 -3- 4/11/24 has the approval of the State Superintendent of Blanks, the Executive Committee Of the Federal Reserve Bank and himself as Federal Reserve Agent; the Committee recommending approval. Approved. Report of Committee on Examinations on letter dated April 4th from the Federal Reserve Agent at Cleveland, transmitting the application of the Provident Savings Bank and Trust Company of Cincinnati, for permission to establish three branches in the city of Cincinnati, notice of intention to file same having been transmitted to the Board by the Assistant Federal ReserVe Agent under date of January 28th; the Committee calling attention to the fact that the State Supwintendent of Banks, the Executive Committee of the Federal Reserve Bank and the Federal Reserve Agent recommend approval Of the establishment of branches at 13th and Main Streets, and at H emltt and V:codburn Avenues, but that the establishment of a third branch at Oakley, a slaburb of Cincinnati has not yet been approved by the State Superintendent and recommending that the 13th and Main Streets and Hewitt and Woodburn Avenues branches be approved by the Board, but that the Oakley branch be not considered at this time. Upon motion, the recommendations of the Committee on Examinations were approved. Letter dated April 8th from the Federal Reserve Agent at Boston, advising that he has offered to Mr. Charles F. Manchester of Providence, the Board's appointment as Class "C" Director of the Federal Reserve Bank of 130ston, to fill the vacancy caused by the resignation of Mr. Jesse H. Metcalf, 4/11/24 -4- and that Mr. Manchester has stated that he would be glad to accept the aPpo int ment Upon motion by Mr. Hamlin, it was voted that Mro Charles H. Manchester be appointed Class "C" director of the Federal Reserve Bank of Boston, for the term expiring December 31, 1925. Memorandum dated April 11th from the Diirision of Examination, quoting gerleral conditions of membership to be imposed upon state banks under the Provisions of Section IV of Regulation "H", Series of 1924, with certain changes in wording necessary before their incorporation in letters of advice to such state banks, and quoting also certain special conditions used in itdividual cases. Referred to the Law Committee. Menorandum dated April 7th from the Division of Examination, inquiring Itether state banks whose applications for membership were approved by the 13Mrd, subject to certain conditions, prior to the adoption of Regulation "H", aeries of 1924, and who have not yet signified their acceptance of such conditions, should now be required to agree to other conditions contained in Regulation ',Hu. Upon motion, it was voted that such state banks should not be required to agree to any conditions other than those imposed upon them at the time their applications were approved. Mr. Hamlin moved that the acceptance of conditions of membership by state banks be limited to thirty days unless, on application, extended by the Board for good cause. Carried. Memorandum dated April 10th from General Counsel, with regard to the Board's proposed reply to telegram dated April 7th from the Governor of the 4/11/24 Federal Reserve Bank of Atlanta, advising that the War Finance Corporation IS willing to make advances to fourteen member banks in the Sixth District, providing the Federal Reserve bank will guarantee the Corporation against any loss; the proposed reply, prepared in accordance with action taken at the meeting on April 8th, stating that it seems clear that a Federal Reserve bank has no authority to give such a guarantee. Upon motion, Counsel's memorandum was ordered circulated. Platt then presented certain correspondence between the Chairman Of the Federal Reserve Bank of St. Louis and the Vice President of the First Trust and Savings Bank of Harrisburg, Illinois, transmitted to the Board by the Chairman in his letter of March 12th, with reference to the handling of currency shipments; the member bank suggesting that its currency be shipped from the Federal Reserve Bank of Chicago instead of the Federal lieserve Bank of St. Louis. After discussion, it was voted that the subject of the correspondence be placed on the program for discussion at the next Governors' Conference. Letter dated April 8th from the Secretary-Treasurer of the National Association of Credit Men, New York City, commenting on a pamphlet issued by the Guaranty Company of Maryland, Baltimore, Maryland, containing a Partial reprint of the article entitled "Finance Companies" published in the January 1923 issue of the Federal Reserve Bulletin. Upon motion, it was voted that the letter of the National Association of Credit Men be circulated, together with draft of a letter reprimanding the Guaranty Company of Maryland for reprinting the article other than in its entirety and for taking typographical liberties with the text. 4/11/24 -6- Letter dated April 10th from the Secretary of the Governors' Conference, transmitting copies of the program of topics submitted by the various Federal Reserve banks for consideration at the conference of 'Governors to be held in 41shiagton beginning May 5th, and iniuiring whether the Board desires to submit any further topics. Mr. Hamlin moved that the matter of suggesting topics for the Governors' conference be made special order for Monday, April 14th, Carried. 1141PORTS OF ST/NDILG C01.2a1111 Dated, April 10th, 11th, Dated, April 11th, 11th, Dated, April 8th, S: Recommending changes in stock at Federal Reserve Banks, as set forth in the Auxiliary Minute Book of this date. Approved. Recommending action on applications for fiduciary rowers as set forth in the Auxiliary Minute Book of this date. ArTroved. Recommending approval of the application of Mr. Silas Shoemaker to serve at the 5aino time as director of the Atlantic Safe Deposit and 2rust Company and as director of the Second National Bank, both of Atlantic City, N.J. Approved. The meeting adjourned at 1:10 ViCe aovernor.
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