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•85 A . meting of the Executive Committee of the Federal Reserve Board was held in the office of the Federal Reserve Board on Eonday, January 26, 1931, at 2:40 D. m. PRESENT: Governor Meyer Mr. Hamlin Mr. Tames Li.. McClelland, Assistant Secretary. The Assistant Secretary presented various correspondence and reports, Which were considered by the Board and acted upon as follows: Letter dated January 22nd from the Secretary of the Federal Reserve Bank of New York, and telegrams dated January 23rd from the Chairman of the Federal Reserve Bank of Chicago, January 21st from the Chairman of the Federal Reserve Bank of St. Louis, January 22nd from the Chairman of the Pederal Reserve Bank of Kansas City, and January 22nd from the Chairman of % the Federal Reserve Dank of San Francisco, all advising that at meetings Of their boards of directors on the dates stated, no changes were made in the banks' existing schedules of rates of discount and purchase. Without objection, noted with approval. 1:etter informally noted with approval today, namely, telegrams dated 3-anUary 23rd and 26th from Deputy Governor Kenzel of the Federal Reserve 13811k ef row York, advising of further reductions on those dates by bill (lealers in their bid and asked rates on acceptances; the latter telegram et4ting that the Federal Reserve Bank of New York has established the 1*(Illowin3 schedule of buying rates on acceptances, effective today: Bankers acceptances: 1 to 45 days 46 to 120 days 121 to 160 days Repurchase Trade acceptances 1 1/2% 1 5/8% 2c,; 1 5/% 2% 1/26/31 -2There being no objection, the above schedule was fornally noted with approval. Telegram dated January 26th from the Chairman of the Federal Reserve Baxik.of Chicago, advising of the establishment of the following schedule Of buying rates on bankers' acceptances, effective today. 1 to 45 days 46 to 120 days 121 to 180 days 1 1/2% 1 5/8 Without objection, noted with approval. Telegram dated January 21st from the Chairman of the Federal Reserve Bank of Atlanta, advising of the election of r. T. B. Hill, l'ashville, Tennessee, as a Class "B" Director of the Federal Reserve Dank of Atlanta, for the unexpired portion of the tern ending December 31, 1931. Noted. latter approved on initials on January 23rd, namely, application made °ver the telephone by the Chairman of the 2ederal Reserve Bank of :ttlanta Oal behalf of the Capital National Bank of Jackson, lassissippi, for permission to rediscount paper acquired from non-member banks; the Agent having advised that %!;125,000 of this paper was taken by the Federal Reserve bank (311 Xanuary 22nd, subject to the approval of the Board, and that, in his °Pinion, the total of the non-member bank paper which may be offered for ' lediscount by the CaPital 'National Bank will probably not exceed 500,000. Formally approved. • 'Report of Committee on Salaries and Expenditures on letter dated j.4111-iarY 17th from the Secretary of the Federal Reserve Bank of Cleveland, etIblaitting for the approval of the Board, a change in the personnel classi- 37 1/26/31 -3- fication plan of the Pittsburgh Branch of that bank; the Board's Comnittee recomnending approval. Approved. Letter dated January 20th from the Secretary of the Federal Reserve Bank of Minneapolis, transmitting a Schedule of the salaries recommended by the directors for officers of the bank during the year 1931. Upon motion, the salary of Er. John R. Mitchell, as Chairman of the Board of Directors of the Vanneapolis Bank and Federal Reserve Agent, was fixed at20,000 for the year 1931. . Upon notion, the salaries of Messrs. Curtis L. Mosher and Fred M. Balley, Assistant Federal Reserve Agents, were fixed at 17,000 and 17,500 respectively for the current year. Upon notion, the salaries of officers reconnended by the directors of the Minneapolis Bank were then approved as follows, effective January 1, 1931: Name Title Win. B. Geery Harry Yaeger Harry I. Ziemer Frank C. Dunlop Leonard E. Bast Harold C. Core Arthur R. Larson Robt. F. lionstram Andreas Ueland Governor :25,000 Deputy Governor 13,000 Deputy Governor and Cashier 8,500 Controller 8,000 Assistant Cashier 5,000 Assistant Cashier 5,500 Assistant Cashier 5,300 Assistant Cashier 4,500 Counsel 5,000 (Retainer) (Office expense) 4,000 Salary ITFITY.NA BRfdTCH Robert E. Towle Herbert L. Zimmermann Albert A. Hoerr Taylor B. Weir Managing Director Cashier Assistant Cashier Counsel (Retainer) 7,000 4,500 3,300 1,200 Letter dated January 19th from the Chairman of the Federal Reserve 8 414k of Minneapolis, advising of the reelection of Mr. R. E. Towle, as 14flaelng Director of the Helena Branch for the year 1931. Noted. • 1/26/31 -.4- (.3 Report of Itcecutive Committee on letter dated January 19th from the Pederal Reserve Agent at Boston, recommending approval of the application or the B. M. C. Durfee Trust Company of Fall River, Mass., for permission to retain 926 shares of stock in the Fall River National Bank, which it now °Inas, and to increase its holdings in that institution up to 1,000 shares, ' 13 254 of the capital, the Board's Committee also recommending approval. Approved. Letter dated Tanuary 19th from the Federal Reserve Agent of the Federal Reserve Bank of Dallas, reporting on a conference held with representatives Otthe --Ithens National Bank of Athens, Texas, for a discussion of that itstitution's continuous reserve deficiencies, and recommending, in view of the representations and Promises made at the hearing, that the Board and the Comptroller of the Currency take no further action on the case pending the receipt of reports which he will make from month to month. Upon motion, it was voted to approve the Agent's recommendation that no further action be taken at this time, and to transmit a copy of his letter to the Comptroller of the Currency for his information. Letter dated Tanuary 17th from the Chairman of the Federal Reserve Bank °r New York, outlining the probable causes of the decrease of approximately 00,000 during December, in the amount of short term funds held in New Ilk City for foreign account. The letter having been previously circulated among the members of the Board, was noted. 1% Letter dated Tanuary 15th from the Chairman of the Federal Reserve Bank Of ''Illeago, enclosing a number of analyses of examiners' reports on national -8 in that district, and stating that it was the custom of the bank to 411(1 these to Ia.. Cunningham, for his information as Chairman of the Committee • -1/26/31 -.5-. on District No. 7, and that if the Board will designate the member to whom they should be addressed, future analyses will be forwarded to him. After discussion, upon motion, the Governor was requested to advise the Federal Reserve Agent of the Chicago Bank that the Board would like to have the reports forwarded to it, and, pending the appointment of a Chairman of the Committee on District No. 7, the Assistant Secretary was instructed to transmit the analyses to the Division of 'Examination with the request that they be reviewed, and such matters as should be called to the attention of the Board referred to it for consideration. Letter dated January 22nd from the Federal Reserve Agent of the Federal Reserve Bank of New York, requesting approval by the Board of the designation °I" -Er. Gustav Osterhus as an Examiner, and of idessrs. Robert G. Cowan, Robert N. Sattler and Edward G. Steadman as Assistant Examiners at the New York Bank. Approved. The Assistant Secretary then stated that upon checking the Board's record of Examiners and Assistant Examiners at the Federal Reserve banks, it has been found that commissions have been issued to certain employees Without their appointment being presented to the Board for approval; the 'ederal iieserve Agents now requesting approval of additional designations e43 follows: District 4 No. Name E. A. Carter Geo. N. Kroner W. E. Peterson Fred Mueller L. T. Walker T. P. Goldschmid T. L. Geiger Designation Special Examiner Examiner Examiner Special Examiner Special Examiner Special Examiner Special Examiner 1/26/31 -6- District No. 9 11 Name Designation Albert A. Hoerr Harry C. Tones Otis R. Preston I. F. Betts F. T. Novey E. G. Hudel J. W. Boles W. H. Holloway C. L. Childers J. F. Clouse T. E. Parks G. I. Allen C. P. Gowland D. S. Lawhon C. C. True Examiner Examiner Special Examiner Examiner Asst. Examiner It It tt It It It Upon motion, the designations set out above were approved. The Assistant Secretary then reported that in response to a telegram dated January 23rd from the Chairman of the Federal Reserve Bank of Dallas, requesting advice as to whether the Board would interpose any objection to a donation by that bank to the rational Red Cross Drive, the Governor had l'oPlied that in connection with requests received in the past from individua l Federal ..eserve banks for authority to make similar contributions, the Board has ruled that it cannot authorize expenditures of Federal Reserve bank funds by way of donations to further purposes, no matter how worthy, which are not directly related to the conduct of the affairs of the bank. Upon motion, the Governor's action in so advising the Chairman of the Dallas bank, was noted with approval. The Governor then advised that in accordance with the suggestion which 4 Made at the meeting on January 21st, he had discussed briefly with governor 'i'ancher the matter of the early examination of the Cleveland Trust C°111Pany and the Guardian Trust Company, both of Cleveland, which were ' lePorted by Er. DeCamp as not having been examined during the year 1930 91 _7_ 1/26/31 and as scheduled for examination during the latter half of 1931. He stated that he had advised Governor 2ancher of the Board's feeling that any member bank not examined during a calendar year should be examined early in the succeeding year and that Governor lancher had promised, upon hi8 return to Cleveland, to look into the matter and advise the Board further. REPORTS OF STAI:DING COTILUTTITES: Dated, January 23rd 26th Dated, January ated, January Dated, January Dated, January RecoLunending changes in stock at Federal eserve banks, as set forth in the Auxiliary Minute Book of this date. Recommendations approved. approval of the application of 1.;:r. Schuyler Recommending 20th L. Baum, for permission to serve at the same time as an officer of the Lincoln National Bank & Trust Company, Syracuse, N. L I and as a director of the First :ational Bank of Einoa, N. Y. Approved. 21st Recommending approval of the application of Mr. Thomas J. Ingram, for permission to serve at the same time as a director of the First National Bank of Homestead, Pa., and as a director of the llonongahela Trust Co., Homestead, Pa. Approved. 22nd Recommending approval of the application of :r. Harry P. Gould, for permission to serve at the same time as a director of the First Bank & Trust Co., Utica, N. Y., and as a director and officer of the Lyons Falls National Bank, Lyons Falls N. Y. Approved. 24th Recommending approval of the application of Er. Sohn E. Stevenson, for Permission to serve at the same time as an officer of the Huntington National Dank of Columbus, Ohio, and as a director and officer of the Columbus Savings Bank, Columbus, Ohio. Approved. The meeting adjourned at 3:15 p. m. Assistant Secretary (Executive Committee) lug AUXILIARY MINUTES (January 26, 1931.) Reports of Standing Committee dated January 23rd and 26th, recommendchanges in stock at Federal Reserve Banks, approved as follows: Shares AP.plications for ORIGINAL Stock: District No. 5. Union National Bank, Lenoir, North Carolina. 90 D istrict No.?. CitizenaNational Bank, Cheboygan, Michigan. 90 38 Total AP.plications for SURRENDER of Stock: D istrict No. 5. National Bank of Goldsboro, N.C. (Insolvent) Citizens National Bank, Hendersonville, N. C. (Insolvent) union National Bank, Fairmont, W.Va. (Insolvent) 38 128 75 150 301 526 42 42 D istrict No. 6. First National Bank, Chipley, Fla. (V.L.Abs. by Chipley State Bank) D istrict No. 7. Pirst National Bank, Alexis, Ill. (V.L.Abs. by National Bank of Monmouth) eirst National Bank, Bloomington, Ill. (V.L.Abs. by First National Bank and Trust Co.) .d.rst National Bank, Hamilton, Ill. (Decrease ,. in surplus) lav ingstone County National Bank, Pontiac, Ill. (V.L.Abs. by National Bank of Pontiac) 60 390 12 48 510 Di strict No. 8. Pirst National Bank, Et. Sterling, Ill. (Insolvent) 90 90 bistrict No. 9. 1.rat National Bank, Goodwin, S. Dak. (Insolvent) 30 30 Di strict No. 10. Pirst National Bank, Elgin, Nebr. (Insolvent) 36 36 bistrict No. 11. 4rmers National Bank, Howe, Texas. (Insolvent) 24 Total 24 1,258 ZaVoemaW Assistant Secretary. Governor:1
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