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504 A meeting of the Board of Governors of the Federal Reserve SYstem was held in Washington on Thursday, March 30, 19441 at 11:00 8..in. PRESENT: Mr. Mr. Mr. Mr. Mr. Eccles, Chairman Szymczak McKee Draper Evans Mr. Mr. Mr. Mr. Morrill, Secretary Bethea, Assistant Secretary Carpenter, Assistant Secretary Clayton, Assistant to the Chairman The action stated with respect to each of the matters herein— after referred to was taken bv the Board: The minutes of the meeting of the Board of Governors of the ,were approved unani— P'ederal Reserve System held on March 29, 1904 Mousiy. Memorandum dated March 29, 1944, from Mr. Morrill, recommend— ing that Mrs. Elizabeth Williams be appointed as a charwoman in the Secretary's Office on a temporary basis for an indefinite period, with basic salary at the rate of P11 200 per annum, effective as of the date 11130n which she enters upon the performance of her duties after having Passed satisfactorily the usual physical examination. Approved unanimously. Memorandum of this date from Mr. Morrill, recommending that A'Igust D'Aiutolo be appointed as a cafeteria helper in the Secretary's °ffice on a temporary basis for a period of not to exceed 60 days, with 505 -2- 3/30A4 basic sa1ar7 at the rate of 1,200 per annum, effective PS of the date upon which he enters upon the nerfcrmance of his duties, with the understanding that if his services prove satisfactory an extension of his appointment will be recommended and he -111 hP placed in the retirement svstem Provided he passes satisfactorily the usual Physical examination. Apnreved unanimously. Memorandum dated larch 27, 191,24, from Mr. Morrill, recommendInP that the appointment of Miss Helen Hulen as a clerk in the Secretary's Office be made permanent, with no change in her present basic 8a1arv at the rate of A1,440 per annum, effective ns of the expiration Of her nresent temporary appointment at the close of business on April 1, l94. Approved unanimously. Memoranda dated March 23, 1944, from Mr. Pauleer, Director Of the Division of Examinations, recommending that, effective April ' 1 1944, (1) the title of F. W. Troup be changed from Assistant Fede1 Reserve Examiner to Federal Reserve Examiner and his basic salary increased from A3,100 to A3,600 per annum and (2) the basic salary °r Ross W. Morgan, Assistant Federal Reserve Examiner, be increased from 82,100 to A2,300 per annum. Approved unanimously. Memorandum of this date from Mr. Morrill, submitting the 506 3/30/44 -3- resiPnation of William Myers as a cafeteria helper in the Secretar,r's Office, to become effective as of the close of business on Anri) 13, 1944, and recommending that the resiTnation be accepted as of that date. The resipnation was accepted. Letter to Mr. Gidnev, Vice President of the Federal Reserve Bank of New York, reading as follows: "In accordance with the recuest contained in your letter of March 23, 1944, the Board approves the appointment of Edward G. Steadman as an examiner for the Federal Reserve Bank of New York, and the appointments of Lester A. Chamberlin, Louis Vohringer, and William M. Wisham as assistant examiners. Please advise us of the dates upon Which the appointments become effective." Approved unanimously. Letter to Mr. G. G. Ware, President of The First National Bank of Leesburg, Leesburg, Florida, reading as follows: "Your letter of March 25, 1944, addressed to Mr. Dreibelbis, has been received in his absence from the City on business. "The matter of preparing a list showing nonpar banks rather than a list showing par banks is one which has been considered from time to time. However, up to this time it has not been found practicable to provide such a list for use in lieu of the par list. As you know, the par list serves the purpose not only of designating the banks which remit for their checks at face value, but also serves as a routing list. In other words, it indicates the Federal Reserve Bank or branch through which a check drawn on any particular bank should be sent for collection. This, of course, is a matter of convenience to the banks receiving checks from their depositors for collection. The possibility of preparing such a nonpar list, however, is still having, consideration. =r-bwik) ( 3/30//4/4 -4- "It is noted that you are considering adding a charge on irour own account to nonnar checks which you receive for collection, equal to the charge which you must pay to the paying bank. There is no provision of Federal law or regulation prohibiting a bank from making a charge for the collection of checks dravn on other banks. The Federal Reserve Act provides for the fixing by the Board of Governors of the Federal Reserve System of 'charges to be collected by the member banks from its patrons whose checks are cleared through the Federal Reserve Bank' but provides further that 'nothing herein contained rhall be construed as prohibiting a member bank from charging its actual expense involved in collecting and remitting funds'. Since the actual expenses of various banks in various situations must necessarily differ, it would be imnossible for the Board to fix a rule of general application, if, indeed, it would not be impossible for a bank itself to ascertain such costs with respect to specific items. The Board has not, therefore, issued a regulaticn with regard to such collection charges made by banks, but I am sure that you appreciate the desirability from the standpoint of both the bank and its depositors of keeping any such charges within reasonable limits in relation to the expense to the bank involved in collecting the checks." Approved unanimously. Telegram to Mr. Hays, First Vice President of the Federal Reserve Bank of Cleveland, reading, as follows: "Your wire. Statement furnished Pursuant to revised section 6(d) of Regulation Vi showing that entire proceeds of' loan are to be used to purchase listed article and giving sufficient information regarding the purchase would comply with requirements. Information equivalent to questions 2 and 3 on prescribed form would not be necessarySince entire proceeds would be accounted for. "Amended section 7(d) does not require information eouivalent to that required by cluestions 2 and 5 on nrescribed form. However, if Proceeds of original loan were used to reducP or retire charge account and if Registrant knew or had reason to know this fact, total maturity is limited to six months by footnote 5." Approved unanimously. 598 3/30N —5— Memorandum of this date from Mr. Paulper, Director of the Division of Examinations, submitting for approval by the Board a let— ter to Hart, Dice and Harkins, shorthand reporters, requestinP that they make a stenographic record of the Conference of Auditors to be held in Washington beginning April 17, 194h, and recommending that, if the stenographic record is approved, the cost of the transcript (estimated at approximately 8500) be added to the appropriate 194b budget item of the Division of Examinations. Approved unanimously. Thereunon the meeting adjourned. APProve Chairman.
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