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4,--1 _AL A meeting of the Federal Reserve Board mns held in the office of the Governor on Tuesday, June 26th, at 1100 a.m. TMESUNT: Governor Orissinger Mr. Platt Fr. Hamlin Er. Miller Mr. James Mr. Cunningham Dawes Er. Hoxton, Secretary. The minutes of the meeting held on June 21st were read and on motion approved. Reserve Upon motion, the Board approved the resolutions of the Federal , de— Banks of Philadelphia, Atlanta, Chicago, Minneapolis and San Francisco claring the usual semi—annual dividend for the six months" period ending hne 30th, 1923, and transmitted to the Board with the letters from the respective Federal Reserve Agents, dated JUMB 20, 1923. g regret Letter dated June 18th, from Senator Redd Smoot, expressin that the Federal Reserve Board is unwilling to allow the Federal Reserve Bank of San Francisco to proceed at this time with the construction of the Salt Lake Oity Branch building, and ask.ing if it will be possible for the Board to reconsider its action. Noted. 1!reasurer of the Letter dated June 21st, from the Deputy Assistant 4 from national Dnited States, advising that no applications have been received provided banks requesting the sale of bonds to the Federal Reserve banks as in Section 18 of the Federal Reserve Act during the quarter ending June 30, 1923, Noted. -2- 6/26/23 the appointment of a director of The Board considered the matter of City, to fill the the ])enver Branch of the Federal Reserve Bank of Kansas Honorable Alva B. Adams as United States vacancy caused by the election of the Senator. June 14th on this After consideration of the letter of Federal Reserve the of Board subject,framthe Chairman of the certain teleration conside into Bank of Kansas City, and taking ment, it appoint the to respect grams received by the Board with o as Colorad Denver, of e McKenzi was voted to appoint Mr. Murdo of Bank Reserve Federal the a director in the Denver Branch of r Decembe ending Adams Yr. of Kansas City for the unexpired term 31, 1923. Assistant Counsel, with Mbmorandum dated June 19th, from Mr. Freeman, of San Francisco, versus reference to the suit of the Federal Reserve Bank referred to the Fred W. Redfield of Burley, Idaho, said matter having been Law Cormdttee on June 14th. Noted, and ordered filed. Deputy Governor of the Letter4ated June 22nd, from Mr. J. F. Case, of Directors of that Federal Reserve Bank of New York, advising that the Board of five Bank had on June 13th, 1923, granted a leave of absence, for a period Governor, beginning weeks, with full salary, to Mr. Louis F. Sailer, Deputy July 9th, next. Approved. Deputy Governor of the Letter dated June 22nd, from Mr. J. H. Case, Governor CrisFederal Reserve Bank of New York, acknowledging receipt of for Deputy singer's letter of June 21st, in regard to a leave of absence of Governor George L. Harrison of that bank, and advising that the Board Directors of that bank had voted to grant Mr. Harrisona leave of absence -3- 6/26/23 With full salary from January 16 to July 1, 1923, and had afterwards voted to extend _r iarrison's leave of absence with full salary to September 4, 1923, said. leave and said extension having been granted in consideration of larrison's physical condition. Pr. drres roved that the Soard approve the action of the Directors of the _ederal Reserve sank of Pew York with respect to the payment of full salary to 1.r. Harrison, during the perfod from January 16, 1923 to September 4, 1923. Ir. harlin moved, as an amendment, that the 'ioard approve for 1.r. Harrison full pay for six months'from January 16, 1923 to July 16, 1923, and half pry for the remaining period of his leave of absence from the bank. Yr. Hamlin's motion to amend was carried, and thereupon rr. James' original lotion as amended wrs put by the chair and carried. remorandum dated June 19th, from ,eneral Uounsel, submitting certain corvents prepared by him with a view to publication in the Federal Reserve iulletir, in connection with the publication of the text of the orinions Of the 6upreme Court in the AtlInta and Richmond Ear caearance cases. Upon motion, it was voted to authorize the publication in the bulletin of the text of the opinions referred to with the understanding that all comments thereon will be omitted. The Sorrd considered certain recommendations dated JUDB 25th, made by the "visor' Uorrnittee of Federal _teserve Jank Governors now meeting in the 8(3ard, Room, said recommendations being embodied in a letter from the said Ua mmittee, and Which is filed as a part of this record. ,After discussion the doard voted to adopt the following amendment to the joard's Regulation "J". After condition Of Regulation "J" insert two new conditions reading as folloYs: t -4- 6/26/23 "(6) ro Federal Reserve Bank shall receive on deposit any check drawn on a rlon-maCier bank which collection, or for refuses to remit at par in acceptable funds." "(7) Whenever a ii'ederal Reserve bank receives on .deposit or for collection a check drawn by, endorsed by or emanating from any non-member bank which refuses to remit at par in acceptable funds, it shall charge for the service of collecting such check a collection charge equal to the exchange charged bi such nonmember bank for remitting for checks drawn on it." The Executive Committee was voted full power to arrange with the Advisory Comittee for the Governors for any necessary revision of their report above referred to. A discussion followed with respect to the Board's circular X-3750, dated June 20, 1923, and upon motion duly carried the Governor was requested to advise all Federal Reserve Agents that the general privilege given the member banks during the emergency of 1921 to act as agents in rediscounting for non-member banks is now withdrawn, and that hereafter this privilege shall be allowed only upon application and the approval thereof of the Federal Reserve 3oard, it being understood that this action rescinds all former rulings made in this ratter. The Governor was authorized also to issue a press statement advising of the action set forth above. Letter dated JIMA 23rd, from the Railway Loan Advisory Committee of the Federal Reserve Board, reciendirg approval of the form of obligation Submitted by the Seaboard Air Line Company for a loan of ;:56,759,000, (in 8"en parts, the carrier electing at this time to take over the second 1341 't of the loan in the amount of .3,000,000) under the provisions of Section 210 of the Transportation Act, 1920, as amended. Approved. -0- Loan Advisory Comndttee Letter dated June 23rd, from the Railway l of the form of ob1i2tion Of the Federal Reserve Board, recommeniing approva for a loan of %755,000, subrdtted by the rorfolk Southern Railroad Company time to take over the fourth part (it five )arts, the carrier election at this ons of Section 210 of Of the loan in the amount of ?71,000) under the provisi 4ransportation Act, 1920, as amended. Approved. —.....SRTS Op COMIITTEE YO. 1: Dated June 21st, 23rd, Dated June 22nd, Dated June 19th, Reserve Banks, R 'commending changes in stock at Federal of this date. nook ute yT-in uxi1iar as set forth in the Adproved. Recommen ing action on applications for fiduciary of this powers as set forth in the Auxiliary 7inute Pcok date. Approved. state Recommending action on application for admission of ual individ t'e in stated banks, subject to the ccnditin the in forth set as report attached to the application, Auxiliary rinute nook of this late. Approved. The meetin Ldjourned at one o'clock. Secretary.
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