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A meeting of the Federal Reserve Board was held in the office of the Pederal Reserve Board on Wednesday, June 13th, at 11:00 a.m. PR,11S,1TTT: Governor Cri ssi nger Mr. Platt Mr. Hamlin Mr. Miller Mr. James Mr. Cunningham Mr. Dawes r. Hoxton, Secretary The minutes of the meeting of the Federal Reserve Board held on June 12th were read and - on motion approved. The Governor stated that had. he been present at the meeting yesterday he would have voted against advising the Attorney General of Mr. M. O. i'lliott's request to file a brief. a Draft of letter prepared by the Chief II‘xaminer, dated June 12th, and addressed to City, re the Chairman of the Federal Reserve Bank of Kansas Pleating certain information with reference to an account carried in the name or A. G. Buhr, Trustee, said account representing the disposition of funds accruing from notarial fees and referred. to in the Report of Dcamination of the Federal Reserve Bank of Kansas City, as of the close of business April 7th, 1923. Approved, as amended. Francisco, Letter dated. June 1st, from the Federal Reserve Agent at San /lePlYing to the Board's letter of May 24th, and giving further information with l'eaPect to the application of the Bank of Italy to establish a branch de novo 4t Ylaba City, California. After full discussion, Mr. Miller moved that the Board reccnsider its action takcn on December 26, 1922, and reaffirmed on January 177, 1923,• whereby the application of the Bank of Italy aforesaid was di sapproved. r!, t -2- 6/13/23 Mr. Miller's notion being put by the chair was lost, the roll being called, the Members voted as follows: Governor Crissinger, "no" Mr. James, "no" Yr. CunninOham, "no" Mr. Dawes, "no" Mr. Platt, "aye" Mr. Hamlin, "aye" Mr. Miller, "aye" the Federal Letter dated June 1st, from Senator T. H. Caraway urging that the Ileserve Board authorize the Federal Reserve Bank of St. Louis to begin s. c04 struction of a branch bank building at Little Rock, Arkansa After discussion, Mr. James moved that it be resolved ons by the Federal Reserve Board that under existing conditi ResFederal the of policy the to made an exception should be with 1923, 19, March of meeting the erve Board adopted at respect to branch bank building operations,and that the ct Federal Reserve Bank of St. Louis be authorized to constru a total at Branch Rock Little the for g the proposed buildin cost, including land, vaults, building, fixtures, furniture, architect's fees, etc., not to exceed :!i400,000. Mr. Platt moved to lay Mr. James' motion on the table. , Mr. Platt's motion being put by the chair was carried : follows as voted Members the roll being called, the Governor Crissinger, "aye" Mr. Platt, "aye" Miller, "aye" Mr. Cunningham, "aye" Pr. Hamlin, "no" Mr. James, "no" Mr. Dawes, "no" Salt Lake Mr. Hamlin then moved with respect to the James City branch the same resolution presented by Yr. above, with respect to the Little Rock Branch. on the table. Mr. Platt moved to lay Yr. Hamlin's notion was carried, chair the by put being motion Fr. Platt's the roll being called, the Members voted as follows: 6/13/23 -3 Governor Crissinger, "aye" Mr. Platt, "aye" Mr. Miller, "aye" Yr. Cunningham, "aye" Mr. Dawes, "aye" Yr. Hamlin, "no" Yr. James, "no" Letter dated June 8th, addressed by the Governor of the Board to the Undersecretary of the Treasury, in reply to Yr. Gilbert's letter of June 7th, with Issference to the suggested appropriation of k25OO by the Federal Reserve Bank Of Boston for the operating expenses of the Treasury Savings Sales Organization 111 Boston. Referred to the Law Cormittee. Telegram dated June 12th, from the Governor of the Federal Reserve Rank of Ilichmond, advising the Federal Reserve Board of the notification of all banks Of the Fifth District and other Federal Reserve banks that until further notice the Federal Reserve Bank of Richmond will continue to receive for collection heretofore, checks on those non-meMber banks in 7orth Carolina which continue t° remit at par. Noted. Letter dated June 6th, from the Chairman of the Federal Reserve Bank of 414 Francisco, transmitting a copy of a letter dated May 25th, from the Pacific 414th:west Trust and Savings Bank of Los Angeles, stating that said bank has 41serided its By-laws so as to eliminate all distinctions as to various classes Of 41me deposits. Noted. Yr. Miller moved that beginning Ouly 1st, 1923, that the Division of 44a3.IT4 s s and Research and the Division of Statistics be consolidated under the 6/ 3/23 W. "e. Stewart as Dirtame of the Division of Research and Statistics vith rr. ing that the present ector of the consolidated division and with the understand retain their titles, and that Statistician and Associate Statistician shall 1,1r. Stewart shall be advised that he is to conduct the consolidated Division ,100 000 per annum. at an 'approximate cost of ;) Carried. telegram to Senator Mr. Hamlin submltted to the Board the following Carter Glass which was approved: seen official copies "Re)lying your wire June 12, Board has not policy Board must of Court's opinions and before determining new e of counsel. Atlanta study such opinions carefully and obtain advic banks to collect fer othcr decision affirms right of Federal reserve affiliated non-members, Federal reserve banks, for meml,ers, and for icts, if payable checks an any bank within their respective distr consistently with legal on presentation and can in fact be collected nge. Court said that, withrights of drawee and without paying excha have ordinarily the sare right in these limits, Federal reserve banks nt over counter as any to present checks to drawee bank for payme declares constitutional a other bank would have. Richmond decision to Charge exchange an remittances State statute authorizing State banks nted over counter by or and giving them option to pay Checks prese express company or their throuCi Aideral reserve bank, post office, itories instead of cash. agents, with exchange draft on reserve depos nor Federal reserve banks rourt said that neither Federal Reserve Board lish universal system are required by the Federal Reserve Act to estab are not required to of par clearfnce and that Federal reserve banks decline to remit at par. collect checks drawn on non-member banks which to cease handling checks Board mig'it instruct Federal reserve banks continue to collect checks on'such banks, or it might permit them to in any States rhich have on such banks by presentation over counter Board has not decided what no statute like that in North Cnrolina. and rifler say decision is a course to pursue. Governor Crissinp;er and I do not concur in this. body blow at Federal Reserve System. Platt 77hen can I see you. " eniOing that the Board rescind its Memorandum dated June 12th, recomm ting that rrs. Josephine M. VIllmarth, action taken on ray 16, 1923 in direc -5- 6/13/23 rolls, effective Clerk-Typist in the office of Counsel, be dropped from the 711marth, efJune 15th, and that the Board accept the resignation of Yrs. fective at the close of business June 15, 1923. Upon motion, the Board's action on ray 16th, with respect to this matter was rescinded and the resignation of Mrs. r/ilmartaras accepted. of Analysis Llemorandum dated June 12th, from the Director of the Division and Research, with reference to a leave of absence for riss Dorothy Davis, employed in that Division. Aoproved. of Analysis Pemorandum dated June 11th, from the Director of the Division Assistants and Research, on the subject of the employment of temporary Research during the summer at a total cost of noo. Approved. y Vemorandum dated June 13th, from Gen6ra1 Counsel requestinr authorit print of to purchase from the public printer fifty copies of the official the opinion filed by the Supreme Court on Yonday, last, in each of the Par Clearance cases. Approved. Currency, requestLetter dated June 2nd, from the Comptroller of the rational Bank Examiner ing the Board's approval of an increase in the salary of liorman D. Vaughan, from 3500 to N1200 per anavsn. Approved. authorized for his Secretary, Mr. Platt advised the Board that he had 6/13/23 j. -6- L. Durland, an increase in salary from :E1.700 to -1',2800 per annum, effective rune 1st, said increase being made in accordance with ti.e oractice Of the Poard :'embers in allo in.-7 to their Secretaries an increase of -1.00 for each year's service up to an annual self ry of S,000. The meeting adjourned at 1:10 2.1% Secret .ryo Approved:
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