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1264 A meeting of the Federal Reserve Board was held in Washington on Wednesday, May 29, 1935, at 2:30 p. m. PRESENT: Mr. Mr. Mr. Mr. Mr. Eccles, Governor Thomas, Vice Governor Hamlin James Szymczak Mr. Morrill, Secretary Mr. Bethea, Assistant Secretary Mr. Carpenter, Assistant Secretary The minutes of the meetings of the Federal Reserve Board held Ohl APril 27 and 29, and May 1, 6, 11, 14 and 17, 1935, were approved. The minutes of the meeting of the Executive Committee of the Fed-. a] Board held on May 8, 1935, were approved and the actions r'5e°rded the were ratified unanimously. The Board then acted upon the following matters: Telegram from Mr. Curtiss, Chairman of the Federal Reserve Bank Oil Bost On, advising that, at the meeting of the board of directors today, 4° chan„ '- was made in the bank's existing schedule of rates of discount arid purchase. Without objection, noted with approval. Letter dated May 27, 1935, approved by six members of the Board, St e"na, Chairman of the Federal Reserve Bank of Chicago, reading follows. to )1.... e.s 7 s1 : 11 gZer oll .lmrerve Board notes with approval from 24, 1935, that while the board of c eielt°re of your bank, at its meeting on that date, made and ,nge in your existing schedule of rates of discount to shase, authority was given to the executive committee berr ablish a different discount rate if deemed desirable -re the next meeting of the full board of directors." Approved. 5/29/35 , 4P Letter dated May 20, 1935, from Mr. A. G. Lindquist submitting his, 1 °'signation as a Federal reserve examiner in the Board's Division of 44171inations, to take effect as of the close of business May 27, 1935. Accepted. Letter dated May 27, 1935, approved by five members of the Board, urti s C Federal Reserve Agent at the Federal Reserve Bank of 808t04) reading as follows: to Mr6 v tion "Reference is made to your letter of May 20 in connecwith the replacement of Miss Adela Waterman, a tien°graphic and statistical clerk in the Industrial Statises Department, who is leaving the bank about June 1. be 'The Board desires to be advised whether it would not f Posible for you to redistribute Miss Waterman's duties cLrtIlle Present so that consideration of filling this vacancy f)a;;7L be Postponed until after the survey of the statistical ct,lon now being conducted is completed." Approved. to Letter dated May 23, 1935, approved by five members or the Board, s t. talof :rgent, Assistant Federal Reserve Agent at the Federal Reserve an Francisco, reading as follows: 1300.,,7his refers to your letter of February 6, 1935, the letter of March 18, 1935 and Mr. Sonnets reply of Ame; ; - ' S 1935, all relating to the establishment by the tro--‘can Trust Company, San Francisco, California, co S. .is'elp department agencies' •on the S. S. 'Mariposa and pron 4.Monterey'. Your letter raises the question of the makf'etY of the establishment of these 'agencies' an(:. 11,._ ' 8 it n ecessary to determine rm whether the 'agencies are ' ' 9orchest A_ of the Trust Company within the meaning of section Beeqon 25 of the Federal Reserve Act. the j0 Board has considered the inquiry in the light of to yl 'mation i furnished by the Trust Company in its letter q4es4 -' March 29, 1935 wherein it replied to certain March -;) ! (s which were set forth in the Board's letter of LaNIn"-°, 1935. Even with the benefit of the additional on 50 given, the Board finds the question difficult 54/35 -3of solution and desires to defer its ruling until counsel for the Trust Company has been given an opportunity of submitting .1 ?Pinion supporting the action of the Trust Company in estab' T cning the 'agencies'. In the event that counsel for the FUSt Comp any does submit such an opinion it will be appreciated,if particular attention is paid to the following questions: /141) In view of the intent of Congress as evidenced in the Banking Act of 1933 to place State member banks on a basis of equality with national banks in the matter of establishing branches, should not an agency? of a State member bank be considered a 'branch? within the meaning of the second paragraph of section 9 of the Federal Reserve Act if at such agency checks are 'paid' within the meaning of that term in the definition of a 'branch' of a national bank in subsection (f) of section 5155 of the Revised Statutes, even though the 'agency' is not situated in any State or Territory of the United States or in the District of Columbia? 1 (2) Assuming the applicability of the definition referred to, are checks 'paid' at the 'agencies' Within the meaning of the definition? Why does not the 'negotiation' of checks referred to in the tlecond paragraph of the Trust Company's letter of arch 29, 1935 constitute 'payment' if the checks are drawn on the Trust Company itself? desir"It will be appreciated if you will endeavor to obtain the to thed ()Pinion of counsel for the Trust Company and will forward com'm _e B°ard any opinion which is submitted accompanied by such ma_ crits as counsel for the Federal Reserve Bank of San Francisco are to submit on the questions presente d." Approved. Tele g::: dated May 27, 1935, approved by five members of the Board, t Iv/I,. Ileto h Acting Federal Reserve Agent at the Federal Reserve Bank "4"eland, reading as follows: ! elet May 20 and May 23, 1935, regarding 'The Napoleon Staten 14 th:ankt, Napoleon, Ohio. Board has considered the matter and Treto:Levent the Reserve Bnuk recommends to the Secretary of the ' - 17Y that the bank be licensed Board will take no action -g4141ing membership of The Napoleon State Bank by reason of the 1267 5/29/t5 -4ft pacquisition of the $500 capital stock of The Napoleon Mortgage Loan ' °mPanY in accordance with a plan of reorganization of the bank Provided that the activities of the Mortgage Loan Company are ,J-ilnited to the purposes for which it was organized, namely, the liquIdation of the assets acquired from The Napoleon State Bank !nd that The Napoleon State Bank will dispose of the stock of Ole Mortgage Loan Company as soon as such purposes for which it was organized have been accomplished. 1, "In the event the Reserve Bank recommends that bank be ci censed, appropriate action should of course be taken by the ilrectors of the member bank rescinding action previously taken rilJPPlYing for withdrawal from System. Please furnish Board - proper evidence of action taken in this respect. Th :In view of your statement that assets to be purchased by Nae "aPoleon State Bank from The Commercial State Bank, a P°1e0n, Ohio, have been examined and approved by your office rand that the acquisition thereof would not appear to effect talterially the character of the assets of the member bank within ise meaning of the general condition of membership to which it subject, the Board will interpose no objection to the conPlated purchase provided the transaction has the approval of State Banking Department. Please forward copies of any ig zreements or contracts involved in connection with the reorgancoation of the bank and the purchase of the assets from The tolnlercial State Bank, together with your counsel's opinion as the legality thereof." Approved. Letter dated May 27, 1935, approved by five members of the Board, Cuyi+4 Federal Reserve Agent at the Federal Reserve Bank of 80Eton / readinE as follows: inend Reference is made to your letter of May 1, 1955, recomsteel, aPProval of a proposed reduction in the common capital M. C. Durfee Trust Company",Fall River, lesse+ndachusetts, Chase pursuant to a plan an which provides for the purand' subsequent retirement by the trust company of not atocO:n 2,800 shares and not more than 4,000 shares of capital sharc„ 1\,c100 par) at $75 per share, the difference of $25 per credLuet-/een the par value and the purchase price to be -414ed to surplus and undivided profits; for a reduction of 'cent in the remaining capital; for the elimination of all as ei-, i ncludinq the net amount of all securities depreciation, "sifted in the report of examination as of April 2, 1955, lost 5/W35 and for increasing- the surplus account to not less than $400,000 . "The Board has considered the information submitted, as well as the conditio n of the bank as reflected in the report of ex amination as of Ail 2, 1935. It is understood that the pr Comm4 of Banks for the State of Massachusetts has formally approved the proposed purchase and retirement of not to exceed 4)000 shares of the trust company' capital stock and has s verbally approved the reduction of 50 per cent in the capital 8tc)ek remaining after such purchase and retirement, and in view Of such approval, and of your favorable recommendation, the Board approves the application of the B. M. C. Durfee Trust Company, Pall River, Massachusetts, for permission to reduce its present ciLtiltstanding common capital stock from $1,180,000 to not less than in accordance with the plan set forth in your letter ' 87 1, 1935, and the accompanying correspondence, subject to wr un derstanding that the assets to be charged off in connection lort 21 the Proposed decrease in capital stock are to remain the . 1-.,- -P?rty of the trust company; that the entire transaction will az-is:lel-ye the formal approval of the State Commissioner of Banks, as that your counsel has considered the case and is satisfied to its legal aspects. st "As you know the provisions of section 5201 of the Revised beainta.l.tes of the United States prohibit a national bank from 9 0? a or holder of any of its own shares and section i Statethe Federal Reserve Act makes such provision applicable to la : t7 e member banks. It is not believed that this provision of waa intended to apply to a transaction of this kind where it a prderstood the shares purchased will be retired as a part of an of capital reduction authorized by State law. It has been served that section 39 of Chapter 172 of the laws of Massa— Contain provisions, similar to those contained in section stet °f the Revised Statutes of the United States, prohibiting • i, but.el , panke in Massachusetts from purchasing their own shares, the"e" view of the information submitted, it is assumed that stIch °Illmiseioner of Banks and your counsel are satisfied that transPr°vieions of the State law do not prohibit the proposed cs,4,actions in connection with the contemplated reduction in stock of the B. M. C. Durfee Trust Company. the :It is felt that every reasonable effort should be made on them ' art of the bank to notify all stockholders and to give sh.ezs ! easonable time and opportunity in which to offer their : thl lor Purchase, as suggested by the Counsel for your bank. be ay.: c°nnection, it is understood that all shareholders will the Dr;11 the Privilege of submitting stock for retirement at Mials4 fe offered and if more than the number of shares deter' 0 be retired are offered, pro rata purchases will be made. adjustmnasmuch as completion of the proposed plan of capital ant will result in an amount of capital stock which will 4 1269 5/29/35 -6"be materially less than one-tenth OP the deposit liability, the j B ard i s approval thereof is subject also to acceptance by the rUSt company of the following condition: Such bank shall maintain an amount of paid-up and unimpaired capital and unimpaired surplus which, in the judgment of the Federal Reserve Board, will be adequate in relation to its total deposit liabilities, having due regard to the general principle that a bank's capital and surplus ordinarily should not be less than one-tenth of the average amount of its aggregate deposit liabilities and, in some circumstances, should be more than one-tenth of such amount. a "Acceptance of the above condition should be evidenced by e resolution adopted by the board of directors of the trust 2aParlY and Spread upon its minutes, and a certified copy of such 80lution should be forwardedto the Board for its records. 'e 0rase have counsel for your bank pass upon the sufficiency of eh ''‘esolution before it is forwarded to the Board. the trust company's authorized capital is und7rStood"Although to be $1 th ,200,000, it appears from the information submitted shat $20,000 of such authorized capital is represented by 200 ef unissued or Treasury stock and that the amount of evntal stock issued and outstanding is $1,180,000. It seems pr uent, therefore, that the retirement through purchase of the rege d maximum of 4,000 shares of capital stock and a 50 percent tott len in the remaining shares would result in reducing the ef capital stock outstanding to an amount below the tem,T1IT °f $400,000 approved by the Board and apparently cont retraed bY the trust companyand that the maximum amount 0 , ra-hie through purchase under the plan submitted would be '"0 shares. Boar:lipon completion of the proposed plan, please advise the the ,as to the actual amount of the capital reduction effected, e-L larldiiminations made, and the amount of capital, surplus and alsovt.ciled profits remaining after all adjustments are completed; comp24-7ase forward copies of any amendments to the trust eaPi4 Z . : (1311="ch are adopted in connection with the Approved. Lef+ „ar Iktik Of New yo `10 Mr. Case, Federal Reserve Agent at the Federal Reserve rk, reading as follows: ' Ilerence is made to your letter of April 17, 1935, Npie ve tc the State member banks in your district which are et to membership condition numbered 15, regarding the 1270 5/29/35 _7"m aintenance of an adequate ratio of capital and surplus in relation to deposit liabilities. It has been noted that on the basis of reserve certifi2atione for the twelve months ending November 30, 1934, all tate member banks in your district, subject to condition numbered 15, had a net capital structure in excess of one-tenth Of their Durplus average deposit liebilities, although capital and of two of such banks, namely, 'Bank of Bethlehem', icsjmar, New York, and the 'State Bank of Ontario', Ontario, iabi1j'L'w York, equalled 9.5 per cent of their average deposit fir 4-11 view of the circumstances and your recommendation, will take no action at this time to require either thetheOf Bank Beth iiitallehe or the State Bank of Ontario to increase its orr:urplus under the provisions of condition of memberP numb d 15." Approved. Letter to Mr. Clark, Assistant Federal Reserve Agent at the Federal Res arve Bank of Atlanta, reading as follows: "Refnce ere is made to your letter of January 26, 1935,and lo,suPPlemental correspondence with reference to the Board's t "'er of June 30, 1933 (X-7469), regarding membership condition _riper& ' 4 15 relative to the maintenance of an adequate ratio of e Pital and surplus in comparison to deposit liabilities. the "It , h-- been noted that, based upon reserve reports for St tws-Lve month period ending November 30, 1954, the only ate member banks in your district which are subject to membershi, ate condition numbered 15 and which were found to have capital the! LII'Plus equal to less than 10 per cent of their deposits were the :Union Trust Company', St. Petersburg, Florida. .8ank of Slidell', Slidell, Louisiana. 1,The ,, nank of Forest', Forest, Mississippi. Coran -31.1r letter of April 24, 1935, states that the Union Trust cor anY, St. Petersbura, has requested the Reconstruction Finance anti ation to purchase $100,0)0 of the bank's preferred stock (it creas assumed that upon the completion of the proposed invisio :4-11 its capital the bank will have complied with the pro144c)f membership condition numbered 15. Of the, 11 ': has been observed that, while the report of examination stock- 'ank of Slidell as of January 31, 1935, showed capital Posits°f,,q0,000, and no surplus account, as compared with dea re r°4 0 0515, 00, the bank had undivided profits of 45200, and se 'e of 039,500 ror contingencies, which reserve, you state 5/Z3/35 -8r epresents in reality undivided profits. The total of all capital accounts amounted to $89,700. After allowance for all estimated losses, doubtful assets, and depreciation in securities, the report reflected a net sound capital equal to 13 Per cent of deposits. In view of the circumstances and your recommendation, the Board will take no action at this time to require_ the Bank of Slidell to increase its capital or surplus under the provisions of condition of membership numbered 15. "Your letter of January 26, 1955, calls attention to the fact that The Bank of Forest has advised that it increased its account by $4,000 on December 31, 1954, and that it accordingly has now complied with the provisions of membership u ndition numbered is. "The Board has noted your comments regarding the three State member banks in your district which were found to eZ , a ratio of capital stock and surplus of less than 10 per memb Of their deposit liabilities but which are not subject to ship condition numbered 15." Approved. Letter to Mr. McAdams, Assistant Federal Reserve Agent at the al Reserve Bank of Kansas City, reading as follows: Re "lour office has discussed with 'The First State Bank', P-tY, Kansas, the necessity of increasing its capital Lure in order to provide a more adequate ratio of capitlorZPs and in order to comply with the provisions of ta,04. of membership numbered 15 applicable to the institu- to-f 19, "According to the report of examination as of January 8, ,, the bank had a net sound capital of $51,900, including of 4L C ,0-Ppreciation in securities, as compared with deposits hat 940ü, Under date of April 9, 1955, the bank advised 'the -asePosits had since been reduced to $378,000 and that if be s 11.8t storms continue' a further reduction to $500,000 may erred tod within sixty days. The report of examination reclase e"; above reflects a sound condition with no assets liquidfied as estimated losses, doubtful or slow, and a strong ties Position With cash and United States Government securithe .:'ggregating $ 356,100. In view of the circumstances and bY te allY satisfactory condition of the bank as reflected actio :-me .crt report of examination, the Board will take no rilttibered --l'his time with respect to condition of membership 11°81tin,-,' 4-5 regarding the maintenance of an adequate capital It will be expected, however, that the directors of 12'72 5/29/35 -9"the bank will bear in mind adequate capital ratio, and situation at the end of the Your recommendations in the existing at that time." the necessity of maintaining an you are requested to review the year and advise the Board as to matter in view of the circumstances Approved. Telegram to Mr. Curtiss, Federal Reserve Agent at the Federal ReBank of Boston, reading as follows: "Re telephone message from Mr. Gilson concerning 'County Bank Trust Company', Cambridge, Massachusetts. The time specified in condition numbered 18 of conditions of membership of sh s bank within which 1 Shawmut Association' and 'The National peawmut Bank of Boston' shall each obtain a general voting ! thrill -t is hereby extended to December 1, 1955. Please inform e plank and holding company affiliates accordingly." Approved. Letter dated May 25, 1935) approved by six members of the Board, to Gove r"r Schaller of the Federal Reserve Bank of Chicago, reading as follows. 4 t "The Board has given consideration to your letter of May patlansmitting the opinion of your director that the particis Ace °n of the Chicago Reserve bank in the System Investment ,,2unt should be adjusted to the proper percentage. It is irsted that the matter of a change in the distribution of ooll,JInvestment Account among the individual Reserve banks be :clered at the next meeting of the Federal Open Market 'hul%tee, which has been called for May 27. tot-, The Board does not favor at this time reduction in the pecir. noldings of United States Government securities by all on J4,9- Reserve banks. The reasons for the Board's opinion dia„'S matter are given in the attached memorandum, which In some detail the arguments presented in your letter 00.7,, in favor of a reduction in your bank's holdings of -11"lent8.it Approved. 1273 5/29/35 -10Letter to Mr. Sargent, Assistant Federal Reserve Agent at the Pederal Reserve Bank of San Francisco, reading as follows: "Receipt is acknowledged of your letter of May 11, 1935, : equesting advice as to whether holders of preferred stock or 'aPital debentures are to be considered 'other creditors' vilithin the meaning of the following provisions of subsection ke) of section 12B of the Federal Reserve Act relating to the ertification of member banks in connection with their admission ! to the benefits of permanent insurance of deposits by the Federal Deposit Insurance Corporation: 'Upon receipt of such application the Corporation Shell request the Federal Reserve Board, in the case of a State member bank, or the Comptroller of the Currency, in the case of a national bank, to certify Upon the basis of a thorough examination of such bank whether or not the assets of the applying bank are adequate to enable it to meet all of its liabilities to depositors and other creditors as shorn by the books of the bank; and the Federal Reserve Board or the Comptroller of the Currency shall make such certification as soon as practicable.' fs_ "The Board is clearly of the opinion that holders of preof'red stock of a member bank occupy a similar statue to holders e011!"mon stock in so far as the above provisions of law are shored and that the holders of neither class of such stock lett d be considered 'other creditors'. As noted in your Resen proposed amendmPnts to section 12B of the Federal ezy ' ve Act contained in the Banking Act of 1935 will eliminate tionnecea BitY for the certification of member banks in connecof with their obtaining the benefits of permanent insurance thede °BitS if such amendmen are enacted into law. Accordingly, ts whei.,°ard 1'111 not attempt to pass at this time upon the question :"er holders of Of capital debentures in member banks and also 01.41;ital notes in such banks are to be considered 'other cf out°14:2's However, if in any case you find that the amount 4 beel anding capital notes or debentures of a member bank has law 4 : 3 alg on whether it may be certified under the provisions of such °ve quoted, please call the Board's specific attention to 011 s ituation in making your recommendation for certification vne particular case." Approved. Letter to Lir. dated May 27, 1935, approved by five members of the Board, °belt 8. Lovett, Brown Brothers Harriman et Company, New York, 5/W7,5 -11liew York, reading as follows: "Reference is made to your letter of May 1 in regard to tAe sugges ted amendments, described below, to the Federal Reserve Act in connection with consideration of the proposed Banking Act of 1935. "These proposed amendments would (1) authorize any Federal Reserve bank to receive deposits from nonmember banks and bankers which are subject to examination and regulation under State or Federal law, and which are expressly permitted under State law to include balances with the Federal Reserve banks as reserves, and (2) to permit member banks in estimating their l'equired reserve balanc es to deduct amounts due from private clanks end bankers from their gross demand deposits. "As stated in the preamble of the Federal Reserve Act, one of the purposes of the Act was to establish a more effective fliPervision of banking in the United States , and to accomplish ;Li!.at the law contemplates the Federal Reserve System obviously _T'uld include in its membership as large a portion as possible ul.the country's banking resources. To grant substantial 4 1 1vileges to nonmem ber banks and bankers without subjecting em to requirements correspondin g to those imposed upon member ; a enke would not tend to bring about an increase in the System's thri.,1brthill and would not, in the onion of the Board, be in best intere sts of the Federal Reserve System. eubm1413!nks which are members of the System are required to of 14 examination, to comply with the rulings and regulations prouhe Federal Reserve Board, and to conform to certain statutory tn j I sions regarding their operations. These provisions should , an , "e ()Pinion of the Board, apply to all banks granted which are ° 13f the substantial privileges of membership. Section 21 of the de„ rking Act of 1933 provides that privat banker receiv ing e s stqslts must be subject to examination and regulation under the ,! °r Federal law, but there is no provision giving either 0ard or the Comptroller of the Currency any authority to foll l re correction of unsound banking practices which may be ellId At° exist. It is for this reason that a provision is inrepee;%in Section 303b of the Bankin Act g of 1935 (H.R.7617) if e4:111;;Ing this requir ement. The power to examine is of little, the value and may at times create a wrong impression with co/srel 4- i° if it does not carry with it the pover to require inter—t°11 of banking practices which are inimical to the best :st's of the public. 1)120.a:ember banks are required to maintain certain minimum norlmemr on deposit with the Federal Reserve banks, whereas accounter banks and bankers if given the privilege of carrying obli,a4s with the Federa l Reserve banks would be under no legal to maintain a specified minimum balance, and would be 5/29/35 -12"in a position, should they so desire, to withdraw their balances at any time. Any policy which might result in building up substantial balances in the Federal Reserve banks which could be withdrawn in part or in entirety at the option of the depositors might at times seriously impair the System's ability to make effective its general policies. Furthermore, at times like the ! i.'fesent, when member banks have substantial excess reserves with fle Federal Reserve banks, the building up of deposit balances to the credit of nonmember banks and bankers would not increase , , 11_1 1ny way the earnings of the Federal Reserve banks, but :d CLu increa se their expenses. In the light of these consideraric'ne, the proposed change authorizing Federa Reserv e banks to l beceive deposits from nonmember banks and bankers does not appear to 6 One that the Federal Reserve Board could recommend. "The second proposal is that member banks be permitted to deduct their balances with nonmember banks and bankers from their °88 demand deposits in estimating their requir ed reserve balances. le the deduct ion of items in process of collection from gross °rand deposits for the purpose of determining deposit liabilities \Mich reserves are computed would seem fully justified, there 4 4 " ,11 30ubt as to the wisdom of permitting the deduction of collected mad balances rith any banks. To the extent that deposits are 44., 13Y one member bank with another, however, the net deposit th;1-LitY of all member banks as a whole is not changed and, banr iter°rel the privilege of deducting balances due from member membs maY be justified. Under the present and regulations deteer,?ankc may also deduct balances due from nonmembers in To erl:'-ning the amount of demand deposits subject to reserv e. be ax,end this privil balanc ece es due to privat from would banks e in further departure from the sound principle that only items beer"ess of collection (for which immedi ate deposit credit has detergiven subject to actual collection) should be deducted in a g net deposit liabilities. Furthermore, it might have earls_ eneY to encourage member banks to carry balances with pondents other than member banks. or me Even if the effect of the proposed changes on the business vouldtr banks were negligible, the Federal Reserve Board to no -nd it difficult to justify on principle the extensions correl,l,imambers of privileges withou t the imposition of conditions the ,:P°nding to those impose d on member banks. The fact that the Proposed changes would not enable nonmembers to share all lead t-vileges of member s, and that it would not necessarily E4b,, ° w ithdra wals from membership in the System, does not -vear to Biter oTh -,er the principle involved. Inakiged e Board recogn izes the fact that many strong and ably l'ede banks, conducting their business capably, are outside the Reserve System, and it appreciates the spirit in which Z Z r l :I27g 5/29/35 -13m„suggestion is made; but it does not believe that it would r consistent with its obligations to member banks, nor with ' le spirit of the Federal Reserve Act, to recommend the amendments which you suggest." Approved. Letter dated May 28, 1935, approved by six members of the Board, to I/0 norable Pat Harrison, Chairman of the Committee on Finance of the Utited States Senate, reading as follows: "The attention of the Federal Reserve Board has been s cirawn to the fact that the bill H.R. 7260, the proposed Social fecuritY Act, which it is understood was recently reported avorably to the Senate by your committee, contains certain l'°1risions which may possibly be interpreted in such a way as nth °,,!ffect the Federal Reserve banks and their employees in a 47,7_,""e/' which it is believed would be contrary to the best interest of the Federal Reserve System. old "As you know, the bill provides in title II for Federal pay11.ge benefits and requires both employers and employees to wi l'axes to defray the costs of such benefits. These taxes b ely be at the rate of 3 percent both of wages paid Y tezenliPloyers and wages received by employees. The term is defined in the bill so as to exclude, among Other ' things, service performed in the employ of the United States G States overnment or of an instrumentality of the United berie:! and employees in such service are exempted from the plialZ!and taxes referred to. It would seem that, for the by co of this bill, Federal Reserve banks, being created United Stat21gress and required to act as fiscal agents of the would be considered as instrumentalities of the United State,' en'a,; hut this would be a matter of interpretation after aty rent of the bill, and it would seem desirable to eliminate ! ye bt with respect to the matter by clarifying amendments. the s 'resnmably, the reason for the exemption of employees in a reOrice of the United States Government is that there is eess -,!.ment system already provided for civil service empl .oynot slabjeoZT10Yees of Federal Reserve banks are, of course, been 1,0 +1, Civil Service Retirement System, but there has over :s-au-Lished for such employees, after considerable study merit '1713riod of several years, a Federal Reserve bank retirebenefite sy suem in which o old age as well as disability and death aYatem are Provided. This Federal Reserve bank retirement to be 1-s believed to be 'f'orking in a satisfactory manner and c°nsonant with the best interests both of the Federal t T 5,12v35 -14— "Reserve banks and of the employees there of. "If the Social Security Bill is enacted into law and should be held to apply to the employees of the Federal Reserve banks, would probably necessitat the aband onment or at least a very e drastic modification of the Federal Reserve bank retirement system, because it is felt that the tax of 3 percent upon the salaries of Reserve bank employees in addition to the deductions now made from sYstem would their salaries for the costs of the retirement be too heavy a burden for the employees to bear. On the other hand, it is felt that the benefits provided in the , 1, 3; 1 11 would not be sufficient to meet the needs of the employees L the Federal Reserve banks and therefore, would not provide 4"ctt sense of security for employees which is believed essential J-f the was es retirement system is to serve the purposes for which it tablished. These purposes, of course, were to provide an effective means of ridding the Federal Reserve System of : ipr-annuated employees and to increase the morale and Ilciency of the emplo yees. "The FederalRes erve banks are exempt under existing law from State and local taxation, except taxes upon real estate, „ and, accordingly, the tax upon employers provided in the ocial Secur ity Bill would not appear to be applicable to ane d Federal Reserve banks as employers. It would seem logical to 4feasonable that inasmuch as the tax would be inapplicable to these banks as employers it should likewise be inapplicable the employees of such banks. earn In the men,estly to circumstances, the Federal Reserve Board desires ina4s to the recommend to you for consideration certain amendbill which would make it clear that the bill is as Dateable to employees of the Federal Reserve banks as well her : o wi the Federal Reserve banks themselves. There is inclosed effe :th a draft of amendments which it is believed would livelY accomplish this object. The proposed amend wille' ments to hn,,xemPt employees of corporations authorized to issue, or to b.;.e,outstandi ng as a liability, obligations declared by law the °uligations of the Unite State or d to be guaranteed by s to 11,:l'ted States, The Feder Reser al banks ve are authorized are cje outsta nding as a liability Federal Reserve notes which acoornared by law to be obligations of the United States and, araencbrgilY, their employees would be exempted by the proposed Mexit ,ntis- Likewise, employees of corporations of the Governthe u;"lch issue obligations declared by law to be guaranteed by same ed States would be exemp or t. You will observe that the th;MrdMent is proposed to be made in Titles II, VIII and IX th ill in order that the exemptions may be uniform throughbill. i atm Federal Reser imPor7he ve Board feels that this is a matter of ---e to the Federal Reser ve banks and to the Federal Re- 5/29/35 -15"serve System and you may be assured that the Board will greatly 2Preciate any steps that you may be able to take to secure the 4-“corporation in the bill of the proposed amendments inclosed herewith." Approved. Letter dated May 25, 1935, approved by six members of the Board, to Honorable Edward S. Burke United States Senate, prepared in accordallee with the action taken at the meeting of the Board on May 18, 1955, and reading as follows: "Receipt is acknowledged of your letter of April 170 1955, 1;:luesting a list of executives and personnel of the Federal 8-;erve Board, assigned to the Washington office, receiving sttl'riee of $5,000 or more per annum, State together with the home Washington address, title and salary in each case. of "The Federal Reserve Board has authorized the publication ailn , 84.,18-ries of individunl members of its staff only in its ' 937-4 report, which has not yet been rendered for the year but, in view of your request, there is attached a list as Of theueeember 31) 1954, in the form in which it will appear in ass,annual report, of all officers and employees of the Board, l ratagned to the Washington office, receiving salaries at the °If $5,000 or more per annum. A list showing the name, title or designation, Washington address Boar , and home State of the officers and employees of the cve referred to is also inclosed. None of the °f employees ab salar? B°ard hold classified Civil Service positions, their th lee being paid from the proceeds of assessments against e Peri_ ,,teral reserve banks." Approved. to kr. 41e4t Letter dated May 27, 1955, approved by four members of the Board, A, te D eMaray, Associate Director, National Park Service, Departt he Interior, reading as follows: officnI4 accordance with my conversation on May 24 in your Your , e r with You and Mr. Nagle, it will be appreciated if serve-ul:ganization will prepare for the use of the Federalt PhiladReNita u°ard and its e architect, Mr. Paul P. Cret, of a ) ellrveY of the plot bounded by IC', 21st, 20th Streets 5/W35 -is0and Constitution Avenue, upon which the new building of the Federal Reserve Board is to be constructed in accordance with a request which has been received from Mr. Cret reading as follows: 'In order to expedite matters, we would like to suggest that you have work started at once on the survey of your plot, showing the information that we will need to prepare further studies and contract documents. The preparation of this survey is, as You know, provided in the contract to be furnished by the Board to the architect. 'The survey should cover the plot bounded by C, 21st, 20th Streets and Constitution Ave., similar to Your file #80.21-2 furnished with the competition Pr°gram, only containing Puller information, such as the location of all curb lines, present and proPosed, With grades on the curb and street at frequent intervals, together with existing grades at the usual intervals over the entire plot. It should also locate all electric power, telephone, gas, rater, steam and sewer pipes, lines, etc., under adjoining streets, Pavements, etc., vith sizes, capacities and levels, ..0gether with trees, city street inlets, light poles, Ire hydrants and all other fixed objects.' Rese "It is understood that you will be reimbursed by the Federal B°ard for such expense as may be incurred by you in fur-b the information necessary to comply with this request." Approved, together with a letter to Mr. Va. H. Livingston, do Paul P. Cret, Philadelphia, Pen nsylvania, reading as follows: to t:Receipt is acknowledged of your letter of May 22 in regard Ped:illreparation of a detailed survey of the plot on which the Reserve Board building is to be constructed and in re0 the locations for test borings. Uatin,!? are advised that the engineering organization of the of .61-41-1. Park Service already has available to it a great deal desil.: information necessary as a basis for the survey which you aad that it is prepared to begin the work at once with the The;eation that it would be finished by the end of next reek. copyef°1*e, that organization is being asked to do the work and Natio!'_,the letter to Mr. Demaray, Associate Director of the Service, is attached hereto. Uteer th respect to test borings we are advised by the en°f thi:ug °rganization of the National Park Service that work dolle-; character for other projects of a public nature is being -tier the direction of the United States Engineering Office 8h9/35 -17;:tFent riel tit is equipped to begin the work at once upon request. as soon as you can advise us as to the locations for tred test borings the matter will be taken up with the Engineer at once. In this connection it is assumed that !oe termining the locations for the test borings you will have nmind that there is a temporary building on the site which may iolt be vacated before the end of August but in discussions with bee engineering organization of the National Park Service it has 8," suggested that probably the nf-cess6ry borings can be made in vace not directly under any portion of the temporary building." 1 Z Letter dated May 27, 19350 approved by five members of the Board, t0 t11., b '-eYton, Federal Reserve Agent at the Federal Reserve Bank of reading as follows: Prop "Reference is made to your letter of May 14 in which you the 8e to make some economies in the budget and operations of statistical and analytical function. In the circumstances ,the a4c;.e Board believes that your proposals are desirable. The Board like to be advised from time to time as to the public regiven to your altered monthly review. fi h reference to the second paragraph of your letter, the 044 ; es for the 1934 budget referred to in the last paragraph of -Letter of May 1 are those which were approved by the Board la7,er date of April 27, 1935, rather than the figures which were the first column of the statement enclosed with your -letTicied er of January 14, 1935." Approved. to lir. Letter dated May 28, 1935, approved by five members of the Board, 4144, 11°t°n, Federal Reserve Agent at the Federal Reserve Bank of Rich- reading as follows: olos111"This ,_ refers to Mr. Fry's letter of April 25, 19350 and / I7ith further reference to the matter of obtaining copies OfEtM enaatrijil t.ents to the charters of State member banks in your otfie"It has been noted that your counsel has suggested that your deern4 Procure the requisite copies from such sources as are how Iseliable and furnish them to him with a statement as to they face or 'here obtained. In the absence of anythinE apparent on the sueh copies indicating that they have not been correctly 5/29/35 -18"tr anscribed, your counsel has advised that he will treat them r.Ls satisfactory and base his opinion entirely upon the assumption _that they are authentic copies. As you were advised in the 2?ard's letter of April 11, 1935, the Board contemplates only that you and your counsel shall be reasonably certain that ecnrate copies of the amendments to the charter s of State member ,nks are obtained and, in the circumstances, it interposes no vujection to the procedure thus suggested by your counsel ." t Approved Letter to Mr. Fletcher, Acting Federal Reserve Agent Et the FedReBerve Bank of Cleveland, reading as follows: "This refers to your letter of May 21, 1965, relative to 0ssible violation of section 22(g) of the Federal Reserve j il7o1ving the Commercial Bank, Delphos, Ohio, and Mr. °seph J ettinghoff, its president. a "It is noted that on April 30, 1934, the member bank made demand loan of $3,400 to Mr. Mark F. Beckman, a partner of Jettinghoff, collateraled by shares of stock issued in the °f Mr. Jettinghoff, and that a certificate of deposit hiL'ed to Mr. Beckman pursuant to such loan was indorsed by ic 7 and subsequ ently deposited to the account of Mr. Jettinghoff. beu state that you have some doubt as to whether a report should askmade to the United States Attorney regarding the matter and ?ice as to what disposition should be made of the case: mot On the basis of facts described in your letter it is the R,,s clear whether a violation of section 22(g) of the Federal i tterve Act has been committed even though the proceeds of the n incurred by Mr. Beckman were deposited to the account of Tetti °rained nghoff. As you know, however, the Board has heretofore to express its opinion as to whether a particular seojer °f a bank was an executive officer xpithin the meaning of matt-4°n 22(g) of the Federal Reserve Act for the reason that the atd i8 Iiithin the jurisdi ction of the Department of Justice cIllesi7,"Preseion of opinion by the Federal Reserve Board on the tilj e n Would not afford protection against criminal prosecution. to e;:, 8e, the Board feels that it would be inappropriate for it a vitfs an opinion as to whether or not certain acts constitute -L°n of such provision of law. itvestT" the circumstances, it is suggest ed that you make such the 100:Tion as you deem necessary in order to determine whether °violation was committed knowingly or in wilful dis4.4oe (5f the provisions of law and handle the matter in accordPolicy set forth in the Board's letter of February 14 de;I: 1282 5/29/35 -19-"p, 1935 (X-9124). Please advise the Board as to what disposition you have made of the matter. "If you find it necessary to report this matter to the local United States Attorney, and, as the Board understands, the loan to Mr. R. H. Jettinghoff, the payment of which was aranteed by Mr. Joseph Jettinghoff, was incurred prior to June 19331 and the proceeds of the new loan were used to discharge "lis obligation, it is suggested that you call these facts to his attention." r Approved. to Letter dated May 27, 1935, approved by five members of the Board, Honorable Tom Connally, Chairman of the Committee on Public Buildings Ground8 of the United States Senate, reading as follows: "This refers to the bill S. 2674 entitled 'A Bill to authorize the furnishing of steam from the central heating Plant to the Federal Reserve Board, and for other purposes' !hich was introduced by you on April 242 1935. A bill contain11311g like provisions, H. R. 7652, has been favorably reported the Committee on Public Buildings and Grounds of the House vi Representatives. co,, "As you know, the Federal Reserve Board was authorized by ress at its last session to acquire a site in the District Columbia and to construct a building thereon for the purpose of !!°viding suitable and adequate quarters for the performance se 'Ls functions, the cost of such site and building to be asgainst the Federal Reserve banks (Act of June 19, 1934, for-:t,No. 417, 73d Congress). The Board has acquired a site str„:"21s purpose and is proceeding with its plans for the conIt-i4l n of a building thereon at the earliest possible date. arci,,s just completed a competition for the selection of an tio" iteot for its new building and as a result of the competiThen haa selected as the architect Paul P. Cret of Philadelphia. is now working upon the drawings necessary to oo;Plete the design for the building which he submitted in the it intionl Before he can complete the work on these drawings, to 01 ; Japortant to know whether it will be possible for the Board ized ;L n steam from the central heating plant, as would be authorSs 26741 or whether it will be necessary for the Board to its and maintain a separate and independent heating plant in tio "e7/ building, which would of course entail considerable addithertexPense. The Board is anxious to begin the construction of lding as soon as may be possible and hopes that the completainj f the Plans by the architect may not be delayed by uncerY as to the source of steam for the building. 1283 5/29/35 -20"In the circumstances the Federal Reserve Board is bringing this matter to your attention and wishes to assure you that it will greatly appreci ate any steps that you may be willing to take to expedite consideration of the bill S. 2674 by the Senate. " Approved, together with a similar letter to Honorable Fritz G. Lanham, Chairman of the Committee on Public Buildings and Grounds of the House of Representatives. tO Letter dated May 28, 1935, approved by acre members of the Board, mr , • Roo, Federal Reserve Agent at the Federal Reserve Bank of atchirl°nd, reading as follows: "There are inclosed the original and copies of a Clayton t,Act.osperlielrt granted to Mr. Sifford Pearre, Baltimore, Maryland at the same time as an officer of The Equitable Trust Company of Baltimore, and as a director and officer of The mnend-Virginia Joint Stock Land Bank, both of Baltimore, bY:Land, for transmittal by you to Mr. Pearre and the two ".,s involved, and a copy for your files. "It is noted (F.R.B. Form 94, Item 12) that the applicant is se rving as president and director of Insuranshares !!rldfiCateS, Inc.) Baltimore, Maryland, the business of which d that escribed as 'investment trust'. The applicant stated none of the corporations which he was serving, except The illtable Trust Company, make loans secured by stock or bond sect,teral and apparently, therefore, the provisions of latil°n 8A of the Clayton Act are not applicable to his re°118114 with Insuranshares Certificates, Inc. However, it Ba ; ars possible that the provisions of Section 32 of the thatng Act of 1933 may be applicable and it is requested the Zoll make such investigation as is necessary to determine secti'atus of Mr. Pearre with respect to the provisions of "32- You are requested to withhold delivery of the thaj sed permit and copies thereof until you are satisfied zervithe provisions of Section 32 are not applicable to such pertitcte, in which event you are authorized to release the volved : 0 the applicant and copies thereof to the banks inPlease advise the Board of your action. aro th 'tWhen the permit and copies are forwarded to Yr. Pearre e banks involved please advise them that the permit has Z 128/17 5/29/35 -21"been issued so as to expire as at the close of January 14, 1936, there is now pending before the Congress proposed legislation ror the Purpose of clarifying and otherwise amending the proClayton Act relating to interlocking bank 17dItloafe:1.7' Approved. Letter to Mr. Walsh, Federal Reserve Agent at the Federal Reserve Bar Of Dallas, reading as follows: "There are inclosed the original and copies of Clayton Act rmits granted to Mr. Edgar Smith, Austin, Texas, to serve as , A reetor of Fidelity Mortgage Company and as director of The ;;:!erican National Bank of Austin, both of Austin, Texas, and to Geo• E. Shelley, Austin, Texas, to serve as director of ! litY Mortgage Company and as director of The Capital National culK in "Austin, Austin, Texas. With your letter of March 1, 1935, you inclosed a copy of the mo4°Pinion of counsel for your bank to the effect that Fidelity cL,gage Company is not a 'bank, banking association, or trust 1/07anYt within the meaning of section 8 of the Clayton Act. stiTer, while Fidelity Mortgage Company is organized under a pri'llte relating to private corporations 'without banking ti0, , 11i, l ,"sl y it appears that the company is subject to examinelot ;uY the State Banking Commissioner, that it is authorized to at;,;(4Tc)neY and to issue its 'debentures', and that it has outit 'Zlng 'certificates of deposit other than for money borrowed' floitle amount of $56,268.58. In the circumstances, after care/1114Y considering this question and in the light of its prior for /,gs, includinc that published in the Federal Reserve Bulletin pica " ,'arch 1934 at page 180, the Board is of the opinion that be ;titY Mortgae Company in effect receives deposits and is to (-,, c rde ` d bank within the meaning of the provisions of -.Layton Act.a njIne. tr ansmitting the permits to the applicants, please adaPplicants and the banks that the permits have been Ia n% 80 as to expire at the close of January 14, 1936 as there Purpo;Pending before the Congress proposed legislation for the the el : 0°f clarifying end otherwise amending the provisions of -"on Act relating to interlocking bank directorates." Z 13,2 Approved. S/29/35 -22Letters dated May 29, 1935, approved by four members of the Board, t° •"Plicants for Clayton Act permits advising respectively of the 1.881nce of permits by the Board as follows: H. Miller, to serve at the same time as a director and icer of The National Branch Bank of Madison, Madison, Dndianal and as a director and officer of the Madison Safe JePosit & Trust Company, Madison, Indiana, for the period ending anuary 14, 1936. r lAr. o TeViE, to serve at the same time as a director and cer of The National Branch Bank of Madison, Madison, Dre na, and as a director and officer of the Madison Safe I Posit & Trust Company Madison, Indiana, for the period ending 14, 1936. fp4 1 Mr, off4F. A. Foley, to serve at the same time as a director and bak4-, crer of the Rolette County Bank of Rolla, Rolla, North Ca,, °4 al and as a director of The First National Bank of Cando, North Dakota, for the period ending January 14, 1936. Mr. w • h. Grisso, to serve at the same time as a director and ;;Ilcer of The First State Bank, Seminole, Oklahoma, as a lyector and officer or The Security National Bank of Norman, Naltlan, Oklahoma, and as a director and officer of the American endrnal Bank of Shawnee, Shawnee, Oklahoma, for the period -4-ng January 14, 1936. Mr. p offi Harber, to serve at the same time as D director and oki Ic ,er of the Ame-ican National Bank of Shawnee, Shawnee, ,/ as a director and officer of The First National Bank Of Natirinole, Seminole, Oklahoma, and as a director of The Liberty per, nal Bank of Oklahoma City, Oklahoma City, Oklahoma, for the ..L Period ending January 14, 1936. Mr. R. otri 1, Riddle, to serve at the same time as a director and Okin er of the American National Bank of Sharnee, Shawnee, 7°111a, and as a director and officer of The First National of Seminole. Seminole, Oklahoma, for the period ending (11"Y 14, 1956: i Approved. Lettera dated May 28, 1935, approved by five members of the Board, tc)411/1)11 n„ for Clayton Act permits advising respectively of the S/29/35 -25issuance of permits by the Board as follows; 37. N. Andrews, to serve at the same time as a director of oLie First National Bank and Trust Company of Hamilton, Hamilton, 1°) and as a director of The Hamilton Dime Savings Bank omPltnY, Hamilton, Ohio, for the period ending January 14, 1956. Mr. j • J. Beeler, to serve at the same time as a director and ;''Icer of The First National Bank and Trust Company of Hamilton, :1 ,11!°n, Ohio, and as a director and officer of The Hamilton j -e' t avings Hank Company, Hamilton, Ohio, for the period ending alluery 14, 1956. Mr. p__, ,j uu-L.Benninghofen, to serve at the same time as a Of director Hamtne First National Bank and Trust Company of Hamilton, BanlIcit ,°n) Ohio, and as a director of The Hamilton Dime Savings 19ze:'ompany, Hamilton, Ohio, for the period ending January 14, 4 p Mr, f n„e u er Benninghofen, to serve at the same time as a director ( ) I/ Vie First National Bank and Trust Company of Hamilton, tZ%lton, Ohio, and as a director of The Hamilton Dime Savings 1936.C°mPany, Hamilton, Ohio, for the period ending January 14, Mr. , pi ' 41/ Fitton, to serve at the same time as a director and aer of The First National Bank and IcL Trust Company of Hamilton, b.Lmelt°11 h s , Oio avin , and as a director and officer of The Hilton am Zanu 0 Bank Company, Hamilton, Ohio, for the period ending "Y. 14, 1936. Mr. H JIZalan Ilt serve at the same time as a director of .011117st and Trust Company of Hamilton, Hamilton, Razilt.and as a director of The Hamilton Dime Savings Bank Company, Ohio, for the period ending January 14, 1936. Mr, 11. Offic M. Ruder, to serve at the same time as a director and Ratraiter of The First National Bank and Trust Company of Hamilton, bite Ohio, and as a director and officer of The Hamilton 4a1 --v-Lngs Bank Company, Hamilton, Ohio, hi for the period ending 11"Y 14, 1 936. Mr. R. 11!3 ,Z n017, to serve at the same time as an officer of The "d as -''°nal Bank and Trust Company of Hamilton, Hamilton, Ohio, officer of The Hamilton Dime Savings Bank Company, -n '°hio, for the period ending January 14, 1936. 1287 5/29/35 04_ 111*. Charles H. Buck, to serve at the same time as officer of The ;,quitable Trust Company of Baltimore, Baltimore, Maryland, and as director and officer of The Maryland-Virginia Joint Stock Land ank, Baltimore, Maryland, for the period ending January 14, 1936. %. Charles J. Hanzlik, to serve at the same time as an officer of ase Equitable Trust Company of Baltimore, Baltimore, Maryland, and 13,„lain officer of The Maryland-Virginia Joint Stock Land Bank, ' L im°rel Maryland, for the period ending January 14, 1956. Mr, Robert G. Merrick, to serve at the same time as a director and tVicer of The Equitable Trust Company of Baltimore, Baltimore, jo and, and as a director and officer of The Maryland-Virginia j Stock alluary A Land Bank, Baltimore, Maryland, for the period ending Mr. Th e Th°Inas W. Pangborn, to serve at the same time as a director of as E quitable Trust Company of Baltimore, Baltimore, Maryland, and Balt4 ! ireotor of The Maryland-Virginia Joint Stock Land Bank, -'°re, Maryland, for the period ending January 14, 1936. Mr 'Hu h L. Pope, Equit to serve at the same time as an officer of The a 'Pole Trust Company of Baltimore, Baltimore, Maryland, and as direct Bari ior and officer of The Maryland-Virginia Joint Stock Land ) Baltimo-r•c, Maryland, for the period ending January 14, 1956. kr, Fr Mari,1 ank H. Zouck, to serve at the some time as a director of The as ;rd-Virginia Joint Stock Land Bank, Baltimore, Maryland, and tovn director and officer of Reisterstotn Savings Bank, Reisters,M aryland, for the period ending January 14, 1936. Mr, R. B Nat' Ray, to serve at the same time as a director of the --134- Bank of Commerce of Gastonia, Gastonia, North Carolina, ceasj,s_a director of the Bank of Mount Holly, Mount Holly, North for the period ending January 14, 1936. Mr. A. , offie Grimsley, to serve at the same time as a director and ae a , e,r of The First National Bank of Fayette, Fayette, Alabama, Alab ' il'ector of The First National Bank of Clanton, Clanton, o and as a director and officer of the Walker County Bank 46P", Jasper, Alabama, for the period ending January 14, 1956. lt14 ,1,1 p4 • k--ngleton, to serve at the same time as a director of directrut National Bank in St. Louis, St. Louis, Missouri, as a 1731caba°r and officer of the Citizens National Bank in Waxahachie, liatio elite, Texas, and as a director and officer of the First Deri441 Bank at Farmersville, rarmersville, Texas, for the endins January 14, 1956. 5/29/35 -95J. Sullivan, to serve at the same time as a director and 1tYricer of The National Stock Yards National Bank of National 0Y,, National Stock Yards, Illinois, and as a director of the Bank of University City, University City, Missouri, for the period ending January 14, 1936. Approved. , There were then presented the following applications for changes in atock of Federal reserve banks: Dlic ation for ORIGINAL Stock: etrict 'VaY National ranama City, Bank of Panama City, Florida. AT) 14 /)?ntions for APDITIOUL Stock:, il ' Shares 56 ' 1"eige Valle National Bank of Luray, Lura 1 Th ? Y, e17Nati iirginia. 12 onal Pa "eat VirgirliaBank of Logan, Logan, . 6 tavirec"la Merchants Bank of Lawrenceville, keri 6 Of; neeville, Virginia. National Bank and Trust Company, 411V -111E.1.2 Danville, Virginia. 15 tztrict No 7. 6.'4PellPort B. k N ThAvell an and Trust Company, Port, Iowa. 60 -.0-Lainois National Bank and rust T 'd°r4Pcaly of Rockford, Rockford, Illinois. 30 'I ; ll2tIlet No. 10. en44,,erican ) National Bank of Sidney, 7 Nebraska• ,.: bizt Til 1,1ct No. 12. G t Nntional Bank of Gardiner, Thsntler, t tilted Oregon. 6 States National Bank of San ie° 'San Diego, California. , 24 Total t 0110•••••.....11 , k1/ ' 36 39 90 3 30 162 - ) 4." ) . t PIO S/29A5 A i,!1D-41-1 .________orisforSURRENDER of Stock: Watsessing Bank, Bloomfield, New Jersey. istriet No. 3. he First National Bank of Percy, Percy, Illinois. Shares 180 180 19 19 District No. 9. The Pirst N ational Bank of Rolla, Rolla, North ntlkota. 'he Twin Cities National Bank of St. Paul, h 8!' Paul, Minnesota. xtrst $outh National Bank of Leola, Leola, Dakota. 30 72 21 123 24 24 60 60 360 Total 360 766 Pristrict No. 10. he Pil-st National Bank of Roy: Roy, New Mexico. 1)1 : t;et No. 11 Th „rat N ational Bank of Pampa, pampa, Texas. 14trict 3 t c)* 12 s National Bank in Bakersfield, Bakersfield, 41ifornia. Approved. Thereupon the meeting adjourned. -Secretary.
@FedFRASER