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368 A meeting of the Federal Reserve Board was held in the office of the P1*3ral Reserve Board on Thursday, December 13, 1928 at 11:00 a.m. PRESENT: Governor Young Mr. Platt Mr. Hamlin Mr. Miller Mr. James Mr. Cunningham Mr. Eddy, Secretary Mr. McClelland, Asst. Secretary The minutes of the meeting of the Federal Reserve Board held on December 44h were read and approved. Telegram dated December 12th from the Chairman of the Federal Reserve 1/41nat of Richmond and telegram dated December 10th from the Chairman of the 8 " 11 Reserve Bank of Minneapolis, both advising that their boards of di4f/tOrs at meetings on the dates stated made no changes in the banks' existing 441111clules of rates of discount and purchase. Without objection, noted with approval. Telegram dated December 10th from the Chairman of the Federal Reserve kn. Of Minneapolis, advising of the re-election of Mr. R. 0. Kaufman as Di- teet Or of the Helena Branch for a term of two years beginning January 1, 1929. Noted. Letter dated December 12th from the Chairman of the Federal Reserve 4411,. Of Richmond, advising of the re-election of Messrs. L. B. Phillips and Wood as directors of the Baltimore and Charlotte Branches, respectively, tor , eirms of three years beginning January 1, 1929 and the reappointment of 441.8 A. H. Dudley and Hugh Leach as Managing Directors of the respective 1114111ehes for the year 1929. Noted. 369 12/13/28 -2- Letter dated December 12th from the Chairman of the Federal Reserve Bank of Richmond, advising of the election of Mr. John Poole, President of the Pederal-American National Bank of Washington as member of the Federal 4tcbi8e'rY Council from the Fifth District during the year 1929, and the electioll of Mr. James C. Braswell, President of the Planters National Bank of 11/3(117 llount, N. C., as alternate member of the Council. Noted. Reports of Committee on Salaries and Expenditures on lists submitted 11 the Federal Reserve Banks of Richmond and San Francisco of employees for the directors of those banks approved leaves of absence with pay, on ac- 11 eolmi. 7~1, Of illness, during the month of November where the total of such ab4714es since January 1, 1928 has exceeded thirty days; the Board's Committee sl'e°01nmending approval of the salary payments involved. Approved. Letter dated,December 11th from the Federal Reserve Agent at Chicago, with reference to the recent action of the Iowa State Savings Bank, Fairfield, Iowa, a member bank, in taking over the Farmers State Bank of Fairfield; the Pectoral Reserve Agent recommending that the Board offer no objection to the 004s olidation. Noted, without objection. Letter dated December 4th from the Federal Reserve Agent at Boston, 444 Bing of the action of the Rhode Island Hospital Trust Company of Provi' (1 414cs, R. I., in absorbing the Globe National Bank and the Mechanics Savings Bkalt both of Woonsocket, which are to be merged into the present Woonsocket 44110h of the Rhode Island Hospital Trust Company. 370 12/13/28 -3- Noted, without objection. Letter dated December 7th from the Assistant Federal Reserve Agent at lEm York, transmitting tabulation of brokers loans by reporting member banks ew York City, including a new series of figures as to the amount of the 141as of the banks for their own account that represents loans to customers "the banks. The letter having been circulated among all members of the Board was noted. Memorandum from Counsel prepared in accordance with the action of the oard at its meeting on December 10th, submitting draft of letter to the Federal lieserve Agent at Boston, transmitting copy of opinion with regard to the tiOlt Of the Union Trust Company of Providence, R. I. to purchase the controlling interest in the stock of a national bank located in Woonsocket, R. I.; tIle letter requesting that the Federal Reserve Agent not make public the views exPressed in the letter or in the opinion and not give any information as to tIle Position taken on the question to any member bank except upon receipt of 8Pecifi0 inquiry from such member bank. Upon motion, the letter submitted by Counsel was approved. Memorandum from Counsel dated December 8th, submitting copy of S. 4662, 4 bill to amend the Federal Reserve Act with respect to venue of civil suits et41nst a Federal Reserve bank, which if enacted would permit suits against 111154r Federal Reserve bank in any state court within any state, county or judicial 41 strict in its Federal Reserve District; Counsel stating that a copy of the request bill has been sent to Counsel for each Federal Reserve bank with the be tIlat he advise the Board of his views thereon in order that the Board may 371 12/13/28 -4- Pl'epared to give a prompt expression of its views to Congress. Noted. The Governor then stated that Chairman Martin of the Federal Reserve 8841k of St. Louis is in Washington today, and advised him that Governor Biggs has addressed a letter to the board of directors of the St. Louis Bank requestfu that he be not considered for re-election to the office of Governor of the 111111k for the year 1929. The Governor stated that it is quite probable that 141% /lartin will be elected Governor of the bank, and if so, it will be neces4a).. -0 for the Board to appoint a new Federal Reserve Agent and Chairman of the 8"rd Of Directors. Upon motion, the Committee on District #8 was requested to take under consideration the matter of a successor to Mr. Martin as Chairman and Federal Reserve Agent should he be elected Governor of the St. Louis bank. At the suggestion of Mr. James, the Governor appointed Mr. Pole a member of the Committee on District 48 vice Mr. McIntosh, and also appointed him as 81"essor to Mr. McIntosh on the Law Committee and Committee on District 47. the hearing The Governor stated that the next order of business would be which have applied Or IlePresentatives of outlying member banks in Philadelphia t0 the Board for reduction of reserve requirements. Mr. Austin, Federal Rea- Frank Agent at Philadelphia then entered the room, together with Messrs. Walter Vii448head, Vice President of the Second National Bank of Frankford; Cashier, KenPresident of the National Bank of Germantown; G. C. Tuft, and Trust 1i gton National Bank; A. I. Wood, President, ;fest Philadelphia Title Bank and Trust Company; Coll1P4hY; H. U. Porter, trust officer, Northeast-Tacony Q„ U. Barnes us Birkmann, President, Northeast National Bank of Holmesburg; Ira 9 37 12/13/2E3 -5- President, Ninth Bank and Trust Company; J. Whiting, Vice President, National Security Bank; L. L. Darling, Vice President, Textile National Bank, and H. L. Ache, Cashier, Northern National Bank. lIr. Barnes addressed the Board in detail with respect to the general situation in Philadelphia and, in particular, the application of the Ninth Bank and Trust Company. Messrs. iilliarns, Aod and Porter also discussed the applications briefly. The Governor stated that briefs substantiating oral statements made at the meeting have been filed by certain of the member banks and that the Board would be glad to receive briefs from the other institutions or additional information from those who have already filed their briefs. Ile explained, however, that the Board is considering the applications in connection with a general review of its procedure in the matter of granting reduced reserves to outlying banks and is not prepared at this time to act upon them. He also stated that the Board has received an adverse recommendation on the applications from the board of directors of the Federal Aeserve Bank of Philadelphia to which it must give consideration. 130 TS OF STANDING COMMITTEES: pet December 12th, Recommending changes in stock at Federal Heserve banks as 13th, set forth in the Auxiliary Y.inute Book of this date. 'Acommendation approved. Dated action on applications for fiduciary powers Aecommending 10th, December as set forth in the Auxiliary Minute Book of this date. Aecordmendation approved. bated, December 11th, Aecommending approval of the application of J. A. Bandi and a director for permission to serve at the same time Orleans, New officer of the Canal Bank and Trust Comp y, Bank, (;ulfport, La., and as director of the First Nation Miss. Approved. JohnC. of petted, December 1 ecommendtng approval of the applicati of director as time son for peFnission to serve at the s as and J., N. te, the Inde ndence Trust Company, Cha 0 k, Uha,r1ottj. J. directo of the Commercial Nationa Approved. ing ado riled at 2:20 p.m. Pl3r0ved: Ve/ GovernOr. Secretary',.
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