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L meeting of the Federal Reserve Board was held in the office of the Federal Reserve Board on Monday, February 11th, 1924, at 1:G0 o'cloc. PRSSNT: Vice Governor Platt Mr. Hamlin Mr. Miler Mr. James 11r. ;14dy, Secretary The minutes of the meeting of the Federal Reserve Board held on Februa-4-y 5th were read and approved. The minutes of the meeting of the ilxecutive Committee held on February 7th were read and approved. Telegram dated February 9th, from the Federal Reserve Agent at San ?rancisco transmitting and recommendin.; approval of the application of the Security Trust and Savin;s Bank of Los Angeles for permission to purchase the Beverly State Bank, Beverly Lills, California, and establish a branch in its premises. Referred to the Committee on i'lxaminations. Letter dated February 8th, from the Federal Reserve Lgent at 4,11as transmitting and recommending approval of the application of the llth Texas National Bank of Galveston, Texas, for permission to accept cll'afts and bills of exchange, growing out of transactions involving the inlportation or exportation of goods, up to 100,0 f its capital and surplus. Upon motion by :Ir. Hamlin, the application was approved. Letter dated February 4th, from the Federal Reserve Agent at San 44ncisco quoting from a letter received from the Pacific Southwest Trust 411a Savings Bank, reeuesting permission to transfer locations of two branches in the city of Los Angeles which were formerly approved by the Board and 2/11/24 ellbsequently withdrawn by the applicant bank; said offices being two of the twenty-five in the city of Los Angeles approved by the Board for the Pacific 30uthwest Trust and Savings Bank. Referred to Committee on Examinations. Letter dated February 7th, from the Chairman of the Federal Reserve thes in the Earlk of Cleveland advising that of the member banks having bran, PcUrth Federal Reserve District,five at the time of admission were required without t° comply with the condition that they would establish no branches the approval of the .Board while sixteen were not. Upon motion by Mr. Miller, the letter was referred jointly to the Law Committee and to the Committee on Examinations. Letter dated February 5th, from the Under Secretary of the Treasury /7411 regard to reserve stocks of Federal Reserve notes of the higher denomillations held in custody at the Bureau of Engraving and Printing and inquirthether some of such notes should not be destroyed; together with a rim°Ilanclum from the Secretary of the Board dated February 8th, making certain Ilacemmendations relative thereto. Referred to Committee on Currency. Letter dated February 7th, from the Assistant Federal Reserve Agent at Cleveland tranmmitting copy of a letter from the Lewis Bank and Trust Co rnDanY, Upper Sandusky, Ohio, ;1.1fing reasons for its action in withdraving Ti the Feder)]. Reserve System. Noted. 2/11/24 -3- Letter dated February 6th, from the Consulting Ardhitect of the 44rd, with regard to plans and specifications for the buildings which the ?ederal Reserve Bank of Kansas City proposes to erect at Omaha and Denver. Referred to the Committee on Branches* Letter dated February 7th, from the Chairman of the Federal Reserve t4 of New 'Iork requesting approval of the employment of Mr. Harold V. ItOelse, Statistician, at a salary of ,3600 per annum. Referred to the Committee on Salaries and Expenditures. Memorandum dated February 7th, from the Secretary of the Board adOf the resignation of Mr. R. J. Baggett, telegraph operator, effective 4brizsr7 11, 1924, and requesting authority to employ a successor at the ' 1441'7 received by Mr. Baggett, namely, 0.65 per month* Approved. Letter dated February 6th, from the Chairman of the Federal Reserve 114111t of Boston requesting approval of the action of the Board of Directors (11 that bank in voting to contribute to the Boston Chapter of the American 11/44kvrs Institute of Banking the sum of :,i500 toward the expense of educational S5 given by the Chapter during the school year 1923-24* Approved. Letter dated February 5th, from the Governor of the Federal Reserve 4411t of Boston, replying to the Board's letter of January 28th, with which 2/11/24 -4- 'Were enclosed copies of correspondence exchanged with the Governor of the Federal Pedpral Reserve Bank of New York on the subject of 'Payment By to InReserve Banks of Bonds and Coupons of Federal TAnd Banks Contrary structions Referred to the Vice Governor with power. First Letter dated February 2nd, from the Vice President of the 27ationa1 Bank of Janta Barbara, California, requesting to be advised whether establishment of 841Y aPplications have been filed with the Board for the branch banks in Santa Barbara County, California; the letter stating that the eederal Reserve Agent at San Francisco had advised the bank that it was beYond his province to furnish this information.• Upon motion by Mr. Hamlin, it was voted to instruct Mr. Perrin to furnish the information requested, it being noted that an application to establish a branch at Santa Barbara has boon filed by the Bank of Italy. Upon motion by Mr. Miller, the above letter was referred to the Committee on Examinations with instructions to consider whether the Board should not follow some general procedure in the matter of advising interested parties of h branthe filing of applications for permission to establis es. ches in their localiti at Dallas Letter dated February 4th, from the Federal Reserve Agent man Fulmer and ellclosing copies of correspondence exchanged between Congress the Merchants National Bank of Port Arthur, Texas, and between the Federal ed Nierve Agent at Dallas and the bank, regarding the bill recently introduc c pay interest at ongressman Fulmer to require Federal Reserve banks to the rate of 2',4 per annum on member banks' balances. Ordered circulated.. -5- 2/11/24 Letter dated February 8th, from the Chairman of the Committee on Banking and Currency of the Jenate requesting any suggestions the Board taY care to make regarding S. #2386, a bill for the purpose of stabilizing banks and trust companies. Referred to Counsel for report through the Law Committee. The Law Committee reported favorably on the matter referred to it at the meeting on January 31st, namely, draft of a reply to letter dated December 15th from the Assistant Federal Reserve Agent at Chicago inquiring Vhether bonds and coupons, which have been cashed by a bank for its customers 424 forwarded to a bank Correspondent for collection, can be considered alllountsdue from banks and accordingly deducted from amounts due to banks in "MPuting reserves; the proposed reply stating that such bonds and coupons 8hou1d not be so deducted. Upon motion, the proposed lettor was approved and copy ordered transmitted to all Federal eserve Agents. The Vice Governor then presented the matter ordered circulated at Fedth° meeting on January 18th, namely, letter dated January 9th from the limitin6. the "al Reserve Agent at Boston, sugesting that the Board consider Ilght of Fedoral Reserve banks to use as collateral for Federal Reserve notes bills bout in the open mar-Let, such right to be exorcised only upon the 411Prova1 of five members of the Board. Noted and ordered filed. 2/11/24 -6- The Law Committee reported on the matter referred to it at the meeting on January 30th, namely, 9. letter dated January 28th from the Chairman of the Federal Reserve Bank of St. Louis with regard to the use of the word "Pederal" in the title of the Federal Commerce Trust Company, recently "eanized in 3t. Louis; the Committee submitting draft of a letter addressed to the President of the National Bank of Commerce, interested in the new corporation, requesting consideration of a change in the title of the Federal C°Immeree Trust Company by which the word "Federal" may be eliminated. Upon mpt ion, the proposed letter was approved. - -gaTiLlgy STANDING COLLUL!.2S: 44 bated, February 5th, 7th, 8th, 9th, Dated, February 9th, Recommending changes in stock at Federal Reserve banks as set forth in the Auxiliary Minute Book of this date. Approved. Recommending approval of the application of Mr. ,T. T. Tiller to serve at the same time as director of the Virginia National 'Bank of Petersburg, Va. of the Citizens National Bank of Emporia, Va. and as director and Vice President of the First rational Bank of Emporia, Va. lated, February 9th, Dated, February 7th, Approved. Recommending approval of the application of Ur. James G. Blaine, Jr., to servo at the same time as director of the Wheatley Hills National Bank of Westbury, N.Y. and as Vice President of the New York Trust Company of New York City.. Approved. Recommending approval of the application of Mr. John T. Burnett to serve at the alme time as director of the Peoples National Bank of Marlborough, Mass., and as director of the Webster-Atlas National Bank of Boston, Mass. Approved. 2/11/24 -7- akiSaLl_g_§2ALPING COMMIINEES: (Conttd) ) i ated, February 6th, Recommending approval of the application of Mr. ':;alter L. Dunham to serve at the same time as officer of the First National Bank of Detroit, Michigan, and as director of the Industrial Morris Plan Bank and Detroit Trust Company of Detroit, Michigan. Approved. February 7th, Recommending approval of the abplication of Mr. 0. H. Shoup to serve at the same time as diructor of the Denver National Bank of Denver, Colorado, of the Exchange National Bank of Colorado Springs, Colo., and of the Grand Valley National Bank of Grand Junction, Colo. Approved. 1)ated, February 6th, Recommending approval of the application of 1:r. James E. Davidson to serve at the same time as director of the first National Bank of Detroit, IJichigan,of the Peoples Commercial and Savinqs Ban:: of Ba City, Michigan. Approved. The meeting adjourned at 1:25 p.m. 3ecretary. 4 PProved: Vice Governor.
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