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3728 A. meeting of the Federal Reserve Board MRS held in Washing- Friday, December 7, 1934, at 11:30 a. m. PRESENT: Er. Er. Er. Er. Ir. Er. Eccles, Governor Thomas, Vice Governor Hamlin Liner James Szymczak Morrill, Secretary Mr. Bethea, Assistant Secretary Er. Carpenter, Assistant Secretary The ct the bez, 7. Board acted upon the following matters: Letter dated December 6, 1934, from Er. Sproul, Secretary Federal Reserve Bank of New York, and telegrams dated Decem1934, fro . Strater, Secretary of the Federal Reserve Eklikq Cleveland, and Er. Walsh, Chairman of the Federal Reserve taro. of Da11a5, all advising that, at meetings of the boards of directort, 04 the dates 1.4 a stated, no changes were made in the banks' existOf rates of discount and purchase. Without objection, noted with approval. Xamorandum dated November 27, 1934, from ar. Paulger, Chief Division of Examinations, submitting and recommending the Et"ePtelice, effective as of the the close of business on that date, of resig4atiot of Liss hazel E. Patrick who had been employed tempo41711 or 41. '4e "et Clerk in the division. orEt4d4m 't the DIvieioxi of Approved. dated December 5, 1934, from Ir. Paulger, Chief Ex aminations, recommending the temporary 3729 12/67/34 -2aPP°illtment, for a period of one month, of hr. Ernest E. Huyett as eWbemographer in the division, with salary at the rate of 3120 a 11/c1411, effective as of the date upon which he enters upon the perof his duties. Approved. 4811bcr andum from hr. Carpenter, Assistant Secretary, stating thwb the recent elections at Federal reserve banks resulted in the election of the following Class A and B directors, each for a term (4 three years beginning January 1, 1935: Class A Directors * * * * * P. G, -8"7—chamber1ain W. J. B. Davison Henning Chess L J. C. amberton In. D. Bra.swell Cook * E. * P. R. Estberg G. Hitt * 11. 0. * P. W. Gro.nga.a.rd Pat E.Sponable 41 C. ilooks It. Leintosh * * * * * * L. S. T. J. French C. P. Wa.tson C. Stout P, Wright J. B. lianna 8. T. 17. B. Crapo * O. Plunkett * Li. Washburn 4% S. Bernardi/1 * t. Cleveland If. Cox Ree lected Bank Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Class B Directors Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco 3730 12/7/34 -'b&lo stated that the Board has been advised of the slfttion of Mr. Edwin Malloy as a Class B director of the Federal Reserve Bank of Richmond for the unexpired portion of the term endOf December 31, 1935, to succeed La-. D. R. Coker, who resigned as August 9, 1934. Noted. t0"lows Letter to la-. A. Dads, Brookfield, Illinois, reading as "p eeeiPt is acknowledged of your letter of November 27, addressed to Governor Eccles, in which you call attention k iie'sarreduction made in your salary as a painter at the Federal ve ft„Bank of Chicago. reeer,„ question of compensation of employees of a Federal ve bank is primarily within the jurisdiction of the board direct()rs of itsed that a the bank, and as the Federal Reserve Board is survey was made recently by the Federal Reserve tlere °f Chicago looking toward the increased efficiency and adi sr,,onomical operation of the bank which resulted in the leiL;11 , 1t °f a number of salaries, and as it appears from your b'"Itt the adjustment in your salary was made in order to more in line with the scale of salaries now in effect b4;1ai1ters in Chicago, it does not appear that there is any or action by the Federal Reserve Board. opilaiO4"Dwever, inasmuch as your letter indicates that in your 1 the adjustment sugges2 in your salary was not justified, it is auper ()+:1 that you take the matter up with the person who has 1718i°11 of your work in the bank." 193A zgg Approved. Letter to the board of directors of the "First State Bank (5j4illg CitY, Lissouri", stating that, subject to the conditions Pre"ribed in the letter, the Board approves the bank's application l'c'r kekbership in the Federal LIII(Ikuat A Reserve System and for the appropriate (4 ct°01c in the Federal Reserve Bank of Kansas City. Approved. 3731 12/7/34 -4- Letter to Lr. O'Connor, Comptroller of the Currency, reading as follows: "Reference is made to the Board's letter of July 25, 1934, addressed to the Federal Reserve Agent at Kansas City, a copy which was sent to you, in regard to the application of 'The rirst National Bank at Ponca City', Ponca City, Oklahoma, for Psrmlssion to exercise fiduciary powers, from which it will be _bil?ted that the °n until it Board deferred action upon the bal*Is applicahad been in operation for at least one year, and report of examination made subsequent to such period was :1 "In this let c)1, connection, there is transmitted herewith a at dated November 23, 1934 from the Federal Reserve Agent 04 oansas City advising that the applicant bank was examined 9, 1934, and submitting an analysis reportet. of the examiner's Although this examination vas made approximately ten zo.118 f_ after the bank was chartered, the Board, in view of the ezzorable re commendation of the Federal Reserve Agent at Kansas tiZs: 111 consider the application without awaiting the expirato r (3'.the stipulated one year period, and would be pleased Etve your further recommendation in the premises. , Allidly return the attached papers with your reply.' Approved. Letter t0 Lir. O'Connor, Comptroller of the Currency, reada5 fnl, v-1..Lows: 8, 19"Reference is made to Lr. Avalt's memorandum of November al ato0k34 'in regard to the proposed reduction in common capital qf he First Rational Bank of Batavia', Batavia, Ohio. the -V.a.; revieving this case consideration has been given to it414-7,?ua factors involved, including the existing large capppreferred, as compared to deposits, and Z01,11:ilh:$1:: iriveat 7,:m=t of assets classed as slow, doubtful i. s.1,the securities depreciation not classified, the e heavy et ais.. 7y. ractor e -- in fixed assets and defaulted bonds, and the unsa !oak 4 '411agement, which is characterized by your examiner as `'hat th 'lee." Co nsideration has also been given to the fact elitii44 aMount of the proposed reduction, while sufficient to 4 sat4fe estimated losses, would not place the institution in agairiet 4etory condition, and that it has no surplus to protect oilaraining criticized assets. the 00 -71-evi of the 11C1i 4..1 0 many unsatisfactory features present in allA ---',, management of the bank, and the adverse 3732 12A/ 1 44 5nreco mmendation of the Assistant Federal Reserve Agent at ...eveland, the Board is reluctant to the proposed cap?.ual reduction, involvin,; as it does approve the release of the stockl ' liability to the extent of „;30,000, and would prefer ,C) 4/711-it another examina2Gion before making a final decision the matter. Inasmuch as the bank was last examined as of 25, 1934, it is assumed that it will again be examined early i 1935, at which time the Board will be pleased to rethe case. It is to be hoped that in the meantime 2 1 ank Illay be able to effect improvements in its condition Which will apital a warrant favorable action being taken on the proposed djustment." ? Approved. as Lotter to Lr. 0 onnor, Comptroller of the Currency, reading follows: a ccordance with Acting Comptroller ,Awalt's recommenda, Fe deral Reserve Board co/Tiplo approves a reduction in the t pie;n capital stock of 'The Fort Pierre National Bank', pia.rre, South Dakota, from 25,000 to ,' 15,000, pursuant to a to ' 1:n°11. Provides that the released capital shall be used all as set a orrespondim; amount of unsatisfactory assets, ot :in Lir. 1934 Awalt's memorandum of i;ovember 24, co,,AtalL ls understood that the subject bank increased its . 25,000 structure on i;ovember 5, 1934, through the sale of Corn Class '11' preferred stock to the , Reconstruction Finance .erosts." 11 and 10,000 Class 'B' preferred stock to local in- Lett__ 111 Approved. t° 1.4r. O'Connor, Comptroller of the Currency, read.follows: HT ;1111 theaccordance with Acting Comptroller Await's re . coiamendae0411011 Federal Reserve Board approves a reduction . 2.n the 'Iltio114%1 Red River Rational Dank in Clar ,k.s tTexas, , from $100,000 to 50,000, pursuant eas; al,,v"ich Provides that the bank's capital shall be insz-50,000 of preferred stock to be sold to the ReershRil tr-,11 Finance Corporation, and that the released capital s t ; used to eliminate or reduce undesirable assets,"a e -Lorth in Awalt's letter of november 24, 1034. Approved. 3733 12/v34 -6- Telegram to kr. Case, Federal Reserve Agent at the Federal Ileaerve Bank of New York, stating that the Board has given consider4 tien to the application of "Eric P. Swenson, John A. Garver and 4"A P. Grace, and their successors, Trustees under Trust Agreelit dated June 29, 1929 on behalf of the shareholders of The Ileti°48.1 City Bank of hew York", New York, New York, for a voting Perirlit under the authority of section 5144 of the Revised Statutes c't the United States, as amended, entitling such organization to 11(Ite the stock uhich it ovms or controls in the "City Bank Farmers T14114t COrapez,.it s New York, New York, and has authorized the issuance 14 a clitio481 permit to the applicant, subject to the folloving con- autl " (1)Prior to the issuance of the limited voting permit Real°rized herein, the Federal Reserve Agent at the Federal eagrn .Ballk of New York shall satisfy himself that the appliin "as charged off or othertvise eliminated (a) all losses der °alas and discounts, (b) all depreciation in stocks and Of Zleted securities, (c) all depreciation in securities not 'rest e f°41* highest grades as classified by a recognized inrze. llt servic6 organization regularly engaged in the business shounng or grading securities, and (d) all other losses as tiotaly , the latest available report of examination by a natiolle ak e xaminer, except that the chargeoffs and eliminaepprai-equired by (b) and (c) above may be based upon current Reser ; 844 or marketable securities satisfactory to the Federal oe 4cent at the Federal Reserve Bank of New York. ( 2 author )Pri , the Issuance iz),(1 an of the limited voting pert permit d he7ei na that (1) the Federal Reserve Agent shall satisfy himself chEtr : ,1tch of the subsidiary banks of the applicant has loan' ::e off or otheruise eliminated, (a) all losses in derZia22.d d iscounts, (b) all depreciation in stocks and not -securities, (c) all depreciation in securities rdzen Ule four highest grades as classified by a recogthe b -'4Ireetment service organization regularly engaged in Usinese of rating or grading securities and (d) all 3734 12/7/34 -7Other losses; as shown by the latest available reports of e xaminations by the appropriate supervisory authorities, except that the charge-offs and eliminations required by (b) and (c) above may be based upon current appraisals of marketable securities satisfactory to the Federal Reserve Agent; "(2) the Federal Reserve Agent shall satisfy himself that the applicant has substantially performed any agreement or to the agreements heretofore executed by it as a condition issuance of a United voting permit by the Federal Reserve Board; " (3) the Federal Reserve Agent and the Executive Committee of the Federal reserve bank shall approve the issuance of such permit." for the folloming purposes: "To elect directors of such bank at the onnul meeting °I' shareholders, or at any adjournments Prior thereof, any time to April 1, 1935, and to act thereat upon °'a routine suchtz r Itte s nature as are ordinarily acted upon a 41411 anmeetings of such bank." 111B t requested that the agent call the attention of the -"'.'Farmers Trust Company to the provision in condition :o. 21 8 adMiCSiOn to membership in the Federal Reserve System thq Prior to January 1, shoal 1935, The National City Bank of NevirYork 441re obtained a general 11 view voting permit, and ascertain whether, of the Pertlit 4 incomplete status of exhibits L and N in the voting Of lievr PP1ication now on file, the City Bank Farmers Trust Company York d oes _ to , t wish to apply Vhich th. for an extension of time within 414Ocondit. of membership may be fulfilled. The telegram the agent to have prepared by counsel for the Fedl'"er ve bank, Pe and to issue to rratt. the applicant, a limited voting th. h t'e"all rd ee with the telegram when the conditions prescribed ave been complied with. eleQraIll Approved. 3735 12/7/34 -8Telegram dated December 6, 1934, approved by five members of the Board, to Mr. Stevens, Federal Reserve Agent at the Federal 141serve Batk 01 Chicago, stating that the Board has given considerto the application of "G, W. Mead Securities Corporation", faideago, I llinois, for a voting permit under the authority of sectioa 5144 of the Revised Statutes, as amended, entitling such orgixtization to vote the stock which it owns or controls in "The Illinois N ational Bank & Trust Co. of Rockford", Rockford, Illinois, 411ihas authcrized the issuance of a limited permit to the applicant, aubjeet to the following conditions: autho%ato.20, the issuance of the limited voting permit " (1)the Federal Reserve Agent shall satisfy himself that each of the subsidiary banks of the applicant has .charged off or othermise eliminated, (a) all losses in toans and discounts, (b) all depreciation in stocks and faulted securities, (c) all depreciation in securities ii(.t ) of the four highest grades as classified by a recog.eed investment service organization regularly engaged in oti! I bueimess of rating or grading securities and (d) all ax Other losses; as shomn by the latest available reports of :_:minations by the appropriate supervisory authorities, that the charge (b) -offs and eliminations required by ketd(o) above may be based upon current appraisals of e securities satisfactory to the Federal Reserve 'Cent; r thai. " (2) the Federal Reserve Agent shall satisfy himself tie -- the aPplicant has substantially performed any agree: torrt agreements heretofore executed by it as a condition 1/t)'erveissuance he of a limited voting permit by the Federal Board; raitte \vi the Federal Reserve Agent and the Executive Corne the Federal 84:1Ce reserve bank shall approve the issuPerinit, Simultaneously with the issuance of the limited Permit rPorati authorized herein there shall be issued to Lead AINCIG on the limited voting permit authorized in the te legram bearing the same date as this telegram." g-0.tirip.(2) 3736 10/34 -9- arid for the following purposes: "To elect directors of such bank at the annual meeting of sha reholders, or at any adjournments thereof, at any time Prior to April 1, 1935, and to act thereat upon such matters a routine nature as are ordinarily acted upon at the annual meetings of such bank." The tel. er8I1 also authorized the agent to have prepared by counzel the Federal reserve bank, and to issue to the G. Vic Mead Securities c_ urPoration, a limited voting permit in accordance with the tele, ' raln- When the conditions prescribed therein have been complied Witth. Approved. In connection with the above, there vs presented a second gl'aux dated December 6, 1304ra, 1934, approved by five members of the tele Ballac the 4 t° 411'• Stevens, Federal Reserve Agent at the Federal Reserve Or Chicago, stating that the Board has given consideration to ""i"'ti°31 of the "Lead Corporation", Chicago, Illinois, for stelzt Psrillit under the authority of section 5144 of the Revised es of the United States, as amended, entitling such organizati°11 to v, .o,e the 44044:1 t stock which it ouns or controls in "The Illinois Etilthori ieet Trust Co. of Rockford", Rockford, Illinois, and has zed the i ssuance of a limited permit to the applicant, subto the following conditions: ot, atithor 'd rrior to the issuance of the limited voting permit Ized herein, that 4(1) the Federal Reserve Agent shall satisfy himself chkr, ! ° ch of the subsidiary banks of the i : loae e c)ff or ' otherwise eliminated, all losses (a) der s alld disco (b) all depreciation aplicntus, in stocks and aulted se curities, (c) all depreciation in securities 3737 12/V34 -10"not of the four highest grades as classified by a recognized investment service organization regularly engaged in the business of rating or grading securities and (d) all Other losses; as shown by the latest available reports of exa minations by the appropriate supervisory authorities, ,xcept that the charge-offs and eliminations required by (b d (c) above may be based upon current appraisals of marketable securities satisfactory to the Federal Reserve Agent; "(2) the Federal Reserve Agent shall satisfy himself that the applicant has substantially performed any agree: Tent or agreements heretofore executed by it as a condition rest::.eils=e of a limited voting permit by the Federal "(3) the Federal Reserve Agent and the Executive Committee of the Federal bPlik reserve shall approve the issuetrTfe of such permit. Prior to the issuance of the limited voting permit rorized herein, applicant shall deliver to you Exhibit L, E' : hi13: Form p-3 executed by Newaygo Timber Co., Limited, and blt 14, F.R.B. Form P-4, executed by Lead Corporation and ez4Otnted to by Newaygo Timber Co., Limited, both of which peal it8 shall be in form satisfactory to counsel for the eT Reserve Bank of Chicago. voti (3) Si multaneously with the issuance of the limited 1:eadl Perillit authorized herein there shall be issued to G. W. i3e37. 4 1 t 11=poration the limited voting permit authortelegram bearing the same date as this eq1c1 t°1* the foiloing purposes: Of "To elect directors of such bank at the annual slazzt meeting l prishareholders, of :r to or at any adjournments thereof, April 1, 1935, and to act thereat upon matters ters nieetite nature as are ordinarily acted upon a the ennual ge of such bank." -celezr am also a uthorized the Ey._;ent to have prepared by counsel theb_ ''ederal reserve bank, and to issue laniteci to the Lead Corporation, .7.°ting tov,z. Permit in accordance with the .414114011e telegram when the Prescribed Letter to therein have been complied with. Approved. the Federal reserve agents at all Federal reserve 3738 12/17/4 -11baziks, reading as follows: 4. "In connection with the issuance of limited and general 1T'ing permits to holding company affiliates under the provine of section 5144 of the Revised Statutes of the United tates, it Is that holding the Board's policy, as you know, to require company affiliates and their subsidiary banks charge off or otherwise eliminate from their assets the following: (a) all losses in loans and discounts, (b) all deprecia°4 in stocks and defaulted securities, (c) all depreciaT)11 in securities not of the four highest grades as c'assified by a recognized investment service organization regularly engaged in the business of rating or grading securities and (d) all other losses, as shown by the latest aTlable report of examination. see .In c onnection with the elimination of depreciation in as .1tIrlties under (b) and (c) above, the question has arisen tro trat extent : appreciation in securities may be deducted quetio de preciation in other securities. This same general n has been ruled upon by the Board in connection with aP Plicatio zerve ns for membership, in a letter to all FederaleAtnts stated•edated December 9, 1933 (A.-7705). The principles 1/ , 1 that letter should be applied with respect to the the if " "n of depreciation in securities in cases involving ; Ilanco of voting permits. ills:tic : 1110u are also advised that in connection with the elmdepreciation in securities under (b) and (c) elimination: in the case of readily marketable sseurities ' ilnlaY be based upon current market values of such I Approved. 4legr&km to the governors of all Federal reserve banks: Itill "f°1101gs: It havecs:' e411 in that Governor . -iarrison is planninE,pto rogram °4 Deo 111"tig of the the ?System Committee on Legiciative n17 embr at Washington. As you know Section 12a of °Pez tierakl Reserve Act requires that tikes meetings of the Federal !t Co mmittee be held at Washington at least four Yekt :r,,cl — year and ' Therer rArk only three have been held so far this et , ore liovre.ve of the Federal Open 1Mittee -it oam calling a nicotine; ' be held at Ilashington on December 17. 1311ine: Y°ur information I do not have in mind any special -° ue pr esented for consideration by the committee 3739 12/7/34 -12at that time." Approved. Telegram to the Federal reserve agents at all Federal re4/1re banks, reading as follows: „, "Ruling 39 interpreting Regulation T. Section 4(f) o' Regulation T provides in part that the receipt in good faith f a check or draft drawn on a bank which in the ordinary course of business is payable on presentation, or the shipment c h good faith of securities with sight draft attached may, for pae vrnPurPoses of the regulation, be deemed to be the receipt of Se*:."411t of the amount of such check or draft. The Federal Re131. . i? Board has been asked, in view of ruling number 34 interti%1.g.Regulation T, whether this applies to 'cash transacthe-t In un registered, non-exempted securities. In reply, re t'oad rules that the provisions of Section 4(f) of the reation r egarding the time when payment is deemed to be sixex1 4" apply to 'cash transactions' in unregistered, non:sA "securities as -curiti well as to 'cash transactions' in other esso Approved. Teleg r 44 to the Federal ' reserve agents at all Federal rereading as follows: soyertil 'A-Lalag O. 40 interpreting Regulation T. reply to With 7 inquiries regarding extensions of time in n connrtion that ,eash tran sactions', the Federal Reserve Board. ru es 4 other kie.0Uri sdiction of the business conduct committee or grszt suitable c not conenslonsommittee of a national securities exchange to of time under section 6 of Regulation T is °II t lried to members of that exchange or to transactions te4zicmex_ exchange. Ass .ng the circumstances um Or ' warrant ani L °f tiMe, the cop may grant such an extension elealerei,u3, to allY member of (1)tliallai -.40 tr that exchange or to any broker or kittee ,°! a ansacts a business in securities through the Ille/Iter of that exchange. Furthermore, the cornnot rant these persons such an extension of time but al; e°44ection with transactions effected on the exchange, *Lalip,: in connection with 11.04,„,ezcl . Th4 an transactions not effected on the aPlaieS to tio4nt. enTted sec 'cash transactions' in unregistered, t. 'klid it • urities, as well as to 0 other 'cash transac18 not necessary that the transaction involve 3740 12/7/3,1 -13It a security registered on the exchange in question, or any Other r egister-,d security." Approved. Letter to Lr. R. Burgess, Chairman, Subconmittee of the General comaittee on Bankers' Acceptances, Federal Reserve Bank of 417 York, reading as follows: 91 "There are inclosed hereth herewith copies of recent corre: sPonde1 1411,-ted St betmeen Er. H. S. Yohe, In Charge, Adstration ates Warehouse Act, and the Federal Reserve Board betvmen the O Board and the Federal Reserve Bank of Richrelatint) to the question whether warehouse receipts seZrillg bankers' acceptances comply with the requirement of Beard' 1) s -egulation A that they be issued by a party "uellndent of the customer. thj ete ltc se e7re that, among other points mentioned in Er. Yohe makes the suggestion in his, col].cttent rec letter that the Federal reserve banks check the dot e eral tor ermine suPporting bankers' acceptances in each case to Whether it is of a kind which may properly be used noteth !PurPose under the law and the be regulations. You will .uomever, that Governor Seay feels that this would not thelticable and states as a possible alternative that if to tbe'eral Reserve Board wishes instructions will be given ot st:i.ex!.minars in connection with their regular examinations tl . :4 11tnmembers e to look out for possible violations of regulations with respect to the acceptances Colvt l by atulec warehouse receipts. he also suggests that the Office would be interested in seeing that nareglactjanks are Paying proper attention to the law and the "41 .s ens of the or th,.a basis forBoard in this respect. further consideration of the suggestions i accept Yohe and Governor Seay as to the checking of bankers' 130ard , . E11„ c!” bY Federal reserve banks, the Federal Reserve the „"vuld like to have the views of your committee as to tnhefarla;lity and t practicability of investigating the . -.Ile whet bankers' acceptances in order to dev,erit complies with the requirements of the law and -1- the lens, either in the manner suggested by 1,:r. Yohe titilit.eir.Miner mentioned by Governor Seay or in some other z1.11. '`Ile con sideration and advice of your committee on ujeet will be greatly appreciated." Approved. 3741 12/7/34 -14- Telegram dated December 6, 1934, approved by five members °t the Board, to Governor Schaller of the Federal Reserve Bank of Chie4g°, reading as follows: 7 thi 11eferring your December 1 letter, without passing, at time, upon specific amounts set forth in your letter, b00k value of land on which head office and branch buildare located is in excess of its estimated market value, Board will consider a request to write down book value to an 841.0111A not below estimated market value. Board will also con( ) -:1 ; c:( 13Tst to charge off an amount in excess of the normal depreciation charge on buildings occupied by head re lee elld by branch. Az in the past, Board will consider e:lueets of Federal Reserve banks to set up additional refor selfinsurance, for losses, and for other purposes. Zeft requests should be accompanied with detailed information port° the necessity for the reserve. The daily balance sheet, Board34' for use in 1935 will contain an item 'Federal Reserve atio;:, building account', against -which should be reported eee' s-4ue paid to the Federal Reserve Board on account of aserecrats to cover the cost of the purchase of a lot and the 4.on of a building thereon for the e to ti Board's use. Question off i„le extent to which such assessments should be charged "411 be considered at a later date.It 01'41 Approved. Letter to Lr. Stevens, Federal Reserve Agent at the FedIlesery -e ,iank of Chicago, reading as follows: et) °Reference is made to your letter of November 1, in reto the Board's letter, :A-9003, of October 30, regarding bEttki s uanoe of new gold certificates to the Federal Reserve Cold r,nstllees in the Gold Settlement Fund and in the agent's kre on deposit with the Treasurer of the United States ev idenced by any receipt other than the receipt given the te !reasurer of the United States for gold turned over . o the tLed States Treasury on January 30, in compliance with ettte;r°71ai°118 of the Gold Reserve Act of 1934, and certifi, J1133 4 dePosit issued as evidence of deposits made oktee ;.,00, since 1934. It is not contemplated that gold certifiTreks "411 be issued to the Federal Reserve Board by Z the rtvielYeZFidence of gold, or gold certificates, Federal deposited ury by the for the account of the 3742 12/7/34 -15- "A photostat copy of the receipt given by the Treasurer Of the United States for gold turned over to the United States Ireasury on January 30, 1934, is inclosed. There is also,inl?sed a blank copy of the form used by the Treasurer of the ted States in acknowledging the receipt of deposits in the varacs Gold Settlement Fund and in the agent's gold fund. e 'Az you know the Division of Bank Operations mails you, snweek, a signed statement for reconcilement purposes, ,,,°113-11C Your balance in the gold fund as of Wednesday night nails the bank a similar statement, each week, showing balance in the Gold Settlement Fund. The combined balances tn.these .we funds are carried in the daily statement of the 41 11 ed States Treasury against the caption, 'Gold certificate '1 Federal Reserve Board% t. amount with the combined balances he comparison of that amot agent's gold fund and the barks' Gold Settlement Fund Ill" daily and any differences promptly reconciled. the At close of business on Wednesday, November 28, 1934, Res balance in the gold fund maintained by you with the Federal ? -76 tc)ard was 498,395,000.00 and the balance of your bank ,,I2._the Gold Qw've Board Settlement Fund maintained with the Federal Revas 273,763,310.31." 1: Approved. Letters to applicants for permits under the Clayton Act, C Of aPproval of their applications as follows: an a ) ;:141 P. Davis, for permission to serve at the same time 1Tebr rector and officer of the Washington County Bank, Blair, 1.411;, :taLaialtE:s4bi t::t .or of The Security National Bank o 141% J. 4 dir.. 'Jail, for permission to serve at the same time as Texa -eL,or of the State Bank and Trust Company, Beeville, ; al ritillif t: the First National Bank in George ,,reo Texas, .as a director of the First State 141. • 413 4 d. "G. Luddy, lrector of the for permission to serve at the sane time First National Bank at Glendale, Glendale, in t t e , : /44140=:c .tor of the Oilfields National Bank Approved. Thex,e "re then presented the following applications for 3743 12/7/34 -16ge3in stock of a Federal reserve bank: icationsfor SURREUDER of Stock: Shares The G Adrian State Savings Eank, 401: L_1 lichigan and haven State Grand Bank, Haven, Lichigan 89 15 104 Approved. Thereupon the meeting adjourned. p-iberdek, t, 4PPr0Irech 0-1 Secretary.
@FedFRASER