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_ A meeting of the Executive Oommittee of the 'federal Reserve Board 718-8 held in •Jashinc;ton on Saturday, Larch 18, 1933, at 12:00 noon. PIESIIT: Governor 1...eyer 1.1r. Hamlin Tdr.ller. Er. Xames Secretary nd. , Lssistaiit Secretary el la la'. I "_c 01 to the Governor. 11r. Harrison, As There was discussion of the fact that the period to be catered bY the list which the Board has asked the _iiederal reserve banks to subto it of nunes and addresses of all person., vlao have withdrawn gold rrara the :federal reserve banks or merter banks in their respective distrleta since Tebruary 1, 1933, and who have not redeposited it in a bank. $ e-q)ired yesterday, and of the question whether any further exten31°11 3hould be made or any further instructions in the premises should be sent to the ii'ederal reserve banks. Action, however, was deferred. 1,4%. Liner, as Chairman of the Committee on District i:o. 7 ad- Iti8e(1 the Board that he had received word from the Chairman of the Fed"al Reserve Bank of Chicago that the executive conraittee of the bank has 415131balreci. the appointment as deputy governor of the bank, with salary at the 2.%4te ef •)20,900 per annum, of 1Tr. Howard 2. 1-reston, who has ')een illealaer of thE; Chicago agency of the Reconstruction 2inance Corporation ror eicht or nine months, and tIrat the executive committee of the bank has l'equested an indication of the Board's views regarding the appointment Proposed before taking the :latter up with the other members Of b cQrd of directors of tiu After discussion, the Secretary was recuested to advise the Chairman of the -Federal Reserve Bank Of Chicago that on recomindation of his board of da.rectors the Board will approve the appointment discussed with 1,:r. i:iller. 3/18/33 -2- The Secretary of the Treasury then joined the meeting, and requested that the Board go into executive session. Thereupon Messrs. Morrill, McClelland, and Harrison withdrew from the room. At the conclusion of the executive session the Secretary of the Tr easurY withdrew, Messrs. Morrill, McClelland, and Harrison reentered the room, and the Executive Committee proceeded to consider and act upon the following matters: Telegram dated March 18, 1933, from the Secretary of the Federal Reaerve Bank of Minneapolis advising of the establishment at the bank on that date of the followinr, schedule of effective buying rates on acceptances: Bankers' acceptances: 1 to 90 days 91 to 120 days 121 to 180 days Repurchase 35 3 1/e% 3 1/2% 3% Trade bills 3 1/2% Without objection, noted with approval. Memorandum dated March 17, 1933, from the Pirector of the Division "Research and Statistics, stating that the leave of absence on account of illness granted Miss Nora V. Elder, an employee of the division, expired MEtreh 3, 1933, and recommending that, as Miss Elder is still ill, she be friallted leave of absence without Day for a period not exceeding two months tr'°111 March 3. Approved. Federal Telegraphic reply to a telegram dated March 17, 1933, from the Reserve Agent at New York referring to the increased volume of WC)rk in the agent's department and requesting approval of the appointment "M, Harold V. Roelse, Manager of the Reports Department, as Acting 3/18/33 Assistant Federal Reserve Agent at the bank, the reply stating that the Board approves the appointment, it being understood that there will be nO change in the salary which Idr. Roelse is now receiving. The reply also requested that the Board be advised of the date on which the ap7ointInent becomes effective, and stated that, before entering upon his new duties,Mr. Roelse should execute the usual form of oath of office and a surety bond in the amount of 00,000, which should be examined by the bank's counsel to determine whether its execution complies fully with the rules printed on the reverse side of the Board's form of bond 182. Approved. Bond in the amount of $100,000, executed on March 15, 1933, by Mr. L. B. Williams as Federal Reserve Agent at the Federal Reserve Bank Of Cleveland. Approved. Bond in the amount of 50,000, executed on March 15, 1933, by Mr- Howard Evans as Assistant Federal Reserve Agent at the Federal Reserve Bank of Cleveland. Approved. Bond in the amount of ;;;50,000, executed on March 13, 1933, by P rank Spencer Parker as Acting Assistant Federal Reserve Agent at the Fed eral Reserve Bank of St. Louis. Approved. Reply to a letter dated March 9, 1933, from Deputy Governor G'ilb"t Of the Federal Reserve Bank of New York requesting authority 1111der the bank's personnel classification plan for the temporary emr)1°Yment of Mass E. M. Kuggas, as junior statistical draftswoman in 3/18/33 -4- the fcrein department of the New York bank, for a further period of three months beginning March 12, 1933. The reply stated that the Board sPPreves the continuance of the temporary employment as recommended. Approved. Reply to a letter dated February 16, 1933, from the Chairman of the Federal Reserve Bank of Dallas recommending approval by the Board of changes in the personnel classification plan of the bank so as to provide larY ran -es for five positions previously classified as "appraised" and rcr thc discontinuance of one "appraised" position. the Boa_ ra approves the changes recommended. The reply stated that Approved. Telegram dated March 15, 1933, from the Chairman of the Federal aeSer.. ' 16 Bank of New York advising that, effective on that date, Mr. Albert tendered, and the board of directors of the New York bank accepted, his resignation as a class A director of the bank. The telegram also stated that it is planned to hold promptly an election of two new directors to fill the vacancies caused by the resignations of Mr. Wiggin and Mr. Woodin. Noted. Telegraphic reply to a telegram dated March 17, 1933, from the Fed"al Reserve Agent at Dallas with regard to the application of the First State Bans, x Taft, Texas, for permission to withdraw immediately from member"113 ill the Federal Reserve System; the reply stating that the Board waives the uslial ' l E quirement of six months' notice of intention to withdraw and "th°rizea the Federal Reserve Bank of Dallas, upon surrender of the Federal reserve bank stock issued to the First State Bank to cancel such stock and /05 3/18/33 make a refund thereon. The reply requested also that the Board be advised "en cancellation of the stock is effected and refund is made and that the Board be furnished with the resolution of the board of directors of the First State Bank authorizing its withdrawal from membership in the System. Approved. Telegraphic reply to a telegram dated March 18, 1933, from the Federal Reserve Agent at Chicago with regard to the application of the Sears C°11211411itY State Bank, Chicago, Illinois, for membership in the Federal Reserve SYstem. The reply stated that the Board authorizes the agent to change the amount of depreciation charge off as stated in condition fifteen e°11tained in the Board's telegram of March 16, 1933, from $34,000 to $12,000. Approved. Telegram to the Federal Reserve Agent at Chicago referring to the 14/lioation of the Drovers Trust and Savings Bank, Chicago, Illinois, for niesalerehiP in the Federal Reserve System, and stating that, in view of the larcpA 60nount of losses and depreciation in the assets of the bank now estimated by its m anagement, the Board does not feel that the report of examination of MaY lq 1932, is sufficiently current to afford a proper basis for considera- ti°4 or the bank's application. The telegram suggested that the agent ar- r44gs f°11 an early examination or credit investigation of the bank for the Atirpose of developing the required information as to its condition, and requested that the report to the Board include certain other information in c°44"tion with the bank's activities. The agent was also requested to call to the attention of tho applicant conditions fifteen, sixteen and seventeen eontained in the Board's telegram of March 11, 1933. Approved. 3/18/33 -6- Reply to a letter dated Tanuary 19, 1933, and previous correspondence from the Federal Reserve Agent at St. Louis, with regard to the apPlication of the New Harmony National Bank, New Harmony, Indiana, for perto act in all fiduciary capacities authorized under section 11(k) the Federal Reserve Act. The reply stated that the Board has considered again the bank's application for full trust powers and has reviewed the rePort of its latest examination, as of December 14, 1932, but that, in view the condition of the institution as disclosed by the report and the recommendations of the agent and the Acting Comptroller of the Currency, the Board is unwilling to approve the application. The reply stated also that the Board will be glad to consider another application from the bank " t Permission to exercise full fiduciary powers when, in the opinion of the Federal reserve agent, it has effected a correction of the unsatisractcrY features of its condition, and that the institution should be adaccordingly Approved. Telegram to the Federal reserve agents at all Federal reserve banks ettxti that, in view of the large return flow of currency during the past d v a- 81 it is requested that they review their present printing orders tor xederal reserve notes and Federal reserve bank notes in the light of the a4 —4/ek of such notes on hand in Washington and at the banks and branches, ir 114,, 42 including currency in transit, and advise the Board to what extent, it anb. 41 they feel that special printing orders should be revised. The tele111'41 requested also that the Board be advised in this regard not later than 14011day, March 20, 1933. Approved. , 480 3/18/33 The following regulation issued on March 16, 1933, by the Secretary Of the Treasury under the authority conferred upon him by the President's Proclamations of March 6 and 9, 1933, declaring and continuing a bank holida_, Y which had previously been brought to the attention of the individual members of the Board, was then presented for the record: (L) "Deposits of the kinds described in Regulations Number 7 and Number 15 are not subject to the provisions of Regulation Number 23." Reports of Standing Committee dated March 17 and 18, 1933, recomruendina approval of the following changes in stock at Federal reserve banks: AD lication for ORIGINAL Stock: District No. 11. First A Shares National uank in Burkburnett, Texas. 24 24 144 144 1. for SURRENDER of Stock: ..,,istrict No, 2. -'-eoPles National Bank, Stamford, Conn. (V.L.Abs. by First -Stamford National Bank and Trust Co.) 1 0.4Z -S -11t °fltinental Illinois National Bank & Trust Company, Te .Chicago, Illinois. (Decrease in surplus) raluaal National Bank, Chicago, Illinois, (Cons. of The Terminus National Bank and The Gre Te rminal National Bank) ensburg National Bank, Greensburg, Ind. V.L. Ro,, Sue. by Greensburg Bank, nonmember) land National Bank, Chicago, Ill. (Voluntary li qUidation) tietriet No 24,000 480 48 150 24,678 36 Total 36 24,858 10, National Bank, Pauls Valley, Okla. (Decrease in capital and surplus) Approved.
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