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was held in the office of the
A II:looting of the Federal Reserve Board
2edera.1, ').eserve Board on Wednesday, ,lune 27th, at 11:00 a.m.
PFESETTT:

Governor Crissinger
Yr. Platt
Mr. Hamlin
Mr. Miller
Fr. James
Mr. Cunningham
1,:r. Davies
Mr. Holton, Secretary

l Reserve "roard held on rune
The minutes of the meeting of the Federa
26th were read and approved.
proposed revised 'T-1,z2vs of the
The Governor submitted a draft of the
Board which after amendment were upon motion adopted.

A copy of the new By-

as a part of this
Laws as adopted is filed in the office of the Secretary
record.
ar letter addressed to the Cloverrx)r
The Governor submitted draft of circul
tion "J", Series of
Of all Federal Tieserve Banks, subject, "Amendments to Regula
192011,
on, this circular
After full di scussion and. some ilt erat,
f being left
thereo
was approved, the release and transmission
to the discretion of the Governor.
of the Feeeral Reserve Bank
Letter dated June 25th, from the Chairman
Of

ors declaring-,
7:.ew York, trvnsmitting the resolution of the Board of Direct

The usual dividend for the six months' period enclinf; June 30, 1922.
.i,pprov ed.
an of the Federal Reserve Bank
Letter dated June 25th, from the Chairm
01'

of Directors declaring the
"Richmond transmitting the resolution of the Foard

usual dividend for the six months' period ending June 30, 1923.




Approv ed.

-2-

6/27/23

Draft of letter dated June 26th, prepared by General Counsel for the
signature of the Governor addressed to the Under Secretary of the Treasury
With reference to the contribution of funds by Federal Reserve Banks to defray
expenses of Treasury Savings Sales Organizations.
Approved.
Letter dated June 25th, from the Federal Reserve Agent at PhiladelPhia, requesting the Board to reconsider its action taken at the meeting of
June 19th, whereby the Board approved a salary of 02800 per annum for Paul H.
Ailing, Chief of Business Reporting Division in lieu of a salary of ,;;3,000
reoommended by Mr. Austin.
Upon motion, the Board declined to reconsider the
action taken June 19th.
Letter dated June 21st, from the Governor of the Federal Reserve
Bank of Philadelphia replying to the Bo'Ird's letter of June 20th, and advising that the Board of Directors of that Bank desired the Federal Reserve Board
to regard certain recommendations for salary adjustments submitted in Governor
Norris' letter of June 15th as exoeptionA oases under the terms of the Board's
circular letter of August 9, 1922, X-3500.
Upon motion, the salary adjustentssubmitted in
Governor Norris' letter of June 15th were approved.
Letter dated June 26th, from the Seaboard National Bank of New York
aPPlYing for permission to accept drafts drawn upon it by banks or bankers in
foreign countries or dependencies or insular possessions of the United St3tes
designated by the Federal Reserve Board for the purpose of furnishing dollar
exohunge.




Approved.

-3-

6/27/23

or Crissinger by Mr. Paul
Letter dated June 26th, addressed to Govern
in the Island
M. Warburg, with reference to a suggested Currency Association
Of Cuba.
Noted.
of the Revised Regulations in
Hamlin submitted a tentative dr._Ift
Page proof form.
and recomReferred to the Law Committee for report
mendation.
Secretary, Mr. J. P. Moore,
Mr. Hamlin stated that he had granted his
increase
an increase in salary from 42900 to $3000, effective July 1, 1923, said
of Members of the Board to allow
being allowed to accordance with the custom
up to a maximum
their Secretaries an increase of 4100 for each year's service
salary of $3,000 per annum.
order would be the matter
The Governor stated that the next thing in
ed resolution with refdocketed under Unfinished Business, namely, the propos
es at Havana, Cuba.
erence to the establishment of Federal Reserve Bank Agenci
resolution and
Mr. Hamlin submitted the following
moved its adoption:
by virtue of the so"WHEREAS, the United States Government,
ons with Cuba which
called Platt amendment has entered into relati
especially in matters
it does not have with any other foreign country,
States having been
Of finance and currency, the currency of the United
made legal tender by Cuba;
of the opinion that the
WHEREAS, The Federal Reserve Board is
desirable as a means of stabilizestablishment of an agency in Cuba is
te supply of clean curing banking conditions and furnishing an adequa
rency;

States and the State DepartWHEREAS, the President of the United
important that such an agency
ment have advised this Board that it is
should be established;




6/27/23

-4-

of Atlanta and the
"WHEREAS, the Federal Reserve Bank
petitioned the Federal
Federal Reserve Bank of Boston have each
an agency in Havana,
Reserve Board for authority to establish
tions permitted under
Cuba, for the purpose of conducting opera
Section 14 of the Federal Reserve Act;
Boston desires to
WHERAS, the Federal Reserve Bank of
the purpose of buying and
establish such an agency primarily for
and collecting bankers'
selling cable transfers and buying, selling
ng satisfactory bank endorseacceptances and bills of exchange beari
ments;
the currency now in circuWHER1IkS, a substantial portion of
ve notes of the Fedural Reslation in Cuba consists of Federal Reser
establishment of an
erve Bank of Atlanta; and it is feared that the
Cuba might result in the
agency of another Federal Reserve bank in
n; and the Federal Reserve
retirement of such notes from circulatio
in Cuba primarily
Bank of Atlanta desires to establish an agency
Federal reserve
in order that it may maintain the circulation of its
notes in Cuba;
of Boston does not desire
WHEREAS, The Federal Reserve Bank
but is willto put its Federal Reserve notes in circulation in Cuba
to preserve as far
ing, if authorized to establish such an agency,
ve notes issued
as possible the circulation in Cuba of Fe(,eiN1 Reser
ta;
through the Federal Reserve Bank of Atlan
VE BOARD, that the appliRESER
AL
BE IT RESOLVED BY THE FEDER
Atlanta and the Federal Reserve
cations of the Federal Reserve Bank of
such agencies are hereby
Bank of Boston for permission to establish
tions:
granted on the following terms and condi
Atlanta and the Federal Reserve
of
Bank
(1) The Federal Reserve
lish an agency in Havana,
Bank of Boston are each authorized to estab
and sell cable transfers; buy, sell
Cuba, and through such agency to buy
bills of exchange, which
and collect prime bankers' acceptances and prime
dollars, arise out of actual import
acceptances and bills are payable in
two or more responsible
or export transactions, bear the signatures of
t, have not more than 90
Parties, bear a satisfactory bank endorsemen
are secured at the time of
days to run, exclusive of days of grace, and
the actual import or export and
purcase by shipping documents evidencing
ing title to such goods;
the actual sale of goods and conveying or secur
shall be necessary to the
and to exercise only such incidental powers as
"bills" as hereinafter used shall
exercise of the above powers. The term
s and bills of exchange of the
mean cable transfers, bankers' acceptance
kinds described in this paragraph.
Atlanta SHALL NO2 BUY OR SELL
(2) The Federal Reserve Bank of
ST OF THE FEDERAL RESERVE BANK OF
ANY CABLE TRANSFERS EXCEPT AT 2HE REJJE
F, AND shall not purchase, sell or
BOSTON AS PROVIDED IN PARAGRAPH 3 HEREO
as originate in or are drawn upon
collect any bills in Cuba except such
Federal Reserve District and such
banks or other drawees, in the Sixth
the
to purchase in order to maintain
Other bills as it shall be necessary
asing
purch
e
befor
notes in Cuba; and
ciraulation of its Federal reserve
drawees
or drawn upon banks or other
in,
g
natin
in Cuba any bills not origi




6/27/23
District it shall first offer
"in the Sixth Federal Reserve
Reserve Bank of Boston bills
to purchase for the Federal
Reserve Bank of Boston.
to be selected by the Federal
of Boston shall not pay
(3) The Federal Reserve Bank
s in Cuba, except as hereinout its awn Federal Reserve note
s OR CABLE TRAN52ED5 are
after provided, and wherever bill
Agency and the sellers reoffered for sale to its Havana
notes, the Federal Reserve
quest payment in Federal Reserve
Federal Reserve Bank of
Bank of Boston shall request the
CABLE TRANSFEES for it
Atlanta to purchase such bills OR
Federal Reserve notes issued
and immediately pay for them with
of Atlanta. The Federal
through the Federal Reserve Bank
its option comply with such
Reserve Bank of Atlanta may at
if it purdases such bills
request or decline to do so, but
for them only with its own
or CABLE TRANSeERS it shall pay
AS MAY BE NMESSARY INCIFederal Reserve notes AND SUCH CASH
SE AND shall immediately reDENTALLY TO COMPLETE THE PURCHA
Bank of Boston at cost and
sell them to the Federal Reserve
ral Reserve Bank of Atlanta
without recourse. If the Fede
such bills promptly for the
shall fail or refuse to purchase
or shall not have available
Federal Reserve Bank of Boston
its awn Federal Reserve notes,
in Havana a sufficient supply of
on may itself purchase such
the Federal Reserve Bank of Bost
own Federal Reserve notes or
bills and pay for them with its
ency which it may have availin any other form of money or curr
s issued through other Federal
able except Federal Reserve note
paragraph shall be construed
Reserve banks. Nothing in this
ral
any way the right of the Fede
as qualifying or limiting in
cy
agen
such
ugh
hase bills thro
Reserve Bank of Toston to purc
its,
cred
book
s,
sfer
tran
ts, cable
and pay for Viii= with bank draf
s.
note
rve
Rese
with Federal
or in any other manner except
operation of ouch agencies, (And
and
t
hmen
blid
(4) The astc
l
poAers through such agencies, shal
the exercise of all the above
ons
Ilti
regu
and
s
rule
and such further
be subject to such changes
.
d may prescribe from time to time
Boar
rve
as the Federal Rese
right
the
rves
rese
y
essl
d expr
(5) The Federal Reserve Boar
such
of
nce
inua
cont
time to the
to revoke its consent at any
inuance of such agencies OR TO
cont
.4is
the
agencies, to require
its
OF NEU ,A,ENCIES whenever in
AUTHORIZE THE ESTABI.ISHMENT
so.
rable to do
discretion it considers it desi
above resoluMr. Hamlin's motion that the
After discussion, the chair put
tion be adopted.




Carried.

d as follows:
Upon roll call, the Members vote

" 4111
.f,

-6-

6/27/23

Mr.
Mr.
Mr.
Mr.
Mr.
Mr.
Mr.

Crissinger, "aye"
Platt, "aye"
Hamlin, "aye"
Miller, "no"
James, "aye"
Cunningham, "aye"
Dawes, "aye"

Mr. Miller stated that he was in favor of a Cuban Agency,
but objected to the resolution on the grounds that it contains
no statement of agreement as to common operation by the Federal
the agenReserve Banks of Atlanta and Boston and that it permits
cies to deal in trade bills as well as bank bills.
tal to the FedMr. Hamlin was requested to prepare a letter of transmit
eral Reserve Banks of Atlanta and Boston and a press announcement for release
this afternoon.

Q.

OF COMMITTEE NO. 1:

state
Recommending action on applications for admission of
al
individu
the
banks, subject to the conditions stated in
the
in
forth
set
reports attached to the applications, as
Auxiliary Minute Book of this date.
Approved.
approval of the application of Mr. Charles E.
ding
Recommen
'Dated June 26th,
director
Beury to serve at the same time as President and
Vice
as
and
hia.,
of the National Bank of North Philadelp
both
Company,
Trust
President and director of the 'loge
of Philadelphia, Pa.
Approved.
William Joyce
Dated June 26th, Recommending approval of the application of Mr.
American
National
the
of
to serve at the same time as director
York
r-w
of
both
Company,
Bank and of the Metropolitan Trust
Dated June 25th,
June 25th,

City.
Dated June 26th,

Dated June 26th,




Approved.
H. Peck
Recommending approval of the application of Mr. Edwin
of the
director
and
t
Presiden
to serve at the same time as Vice
2rust
Vernon
Mount
the
Rye National Bank, Rye, N.Y. :aid of
Company, Mount Bernon, N.Y.
Approved.
Recommending approval of the application of Mr. Charles W.
of the National
Reuter to serve at the same time as director
President of
and
Bank of North Philadelphia and as director
the Tioga Trust Company, both of Philadelphia, Pa.
Approved.

6/27/23
Recommending approval of the application of Mr. John Y.
Gilbert to serve at the same time as director of the National
Bank of North Philadelphia and of the Tioga Trust Company,
both of Philadelphia, Pa.
Approved.
Dated June 26th, Recommending approval of the application of Mr. 2. Charlton
Henry to serve at the same time as director of the Market
Street National Bank and ofmthe Pelham Trust Company, both
of Philadelphia, Pa.
Approved.
Dated June 26th, Recommending approval of the applic.,tion of Mr. Fred 6pellisey
to serve at the same time as director and cashier of the
Market Street National Bank and as director of the chestnut
Hill 2itle and 2rust Company, both of Philadelphia, Pa.
Approved.

Dated June 26th,

Die meeting adjourned at 1:00 P.M.

Seoret_lry,
App roved: