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A meet in of the Federal Reserve Board was held in the office of the Federal Reserve Board on '::ednesday, irovember 28th at 10:10 a.m. P'E3E72.: Governor Crissinzer 1:r. Platt 1,:r. Hamlin Miller :Jr. James Cunninr. *22i 14Ir. Eddy, Seerotary The minut es of the meeting of the Federal Reserve Board held on iTovember .:.7th were read and approved* Letter dated NoveMber 27th, fran the Deputy Comptroller of the C*zrrency, reporting the resic,mation, effective November lb, 1923, of --"` "Lilybeck J. Cobb, a clerk-counter in the Federal Reserve Issue and 4 ecianDt ion Division. Not ed. Ohe Governor presented the application of the Shaw State Bank of St* Louis, for admission to membership under the amendmaat to the Federal Reserve Act, permitting state banks to become memb ,s with ,_ cap].a1 of only 60,0 of that re.juired for the establishment of a national baxaz in the same city, the bank applying for seventy-eight shares of stock 11'1 the Federal Reserve Bank of St. Louis and applying at the same time for a reauction in reserve requirements from 10,..) of demand deposits and 3,; of tirrie deposits to of demand deposits and 3 of time deposits* Upon motion, the application of the Shaw State Bank- for admission of membership was approved, the members voting as follows; Llatt, "aye" Mr. Hamlin, "aye" la'. James, "aye" Cunningham, "aye" overnor Crissin,ger, "no" Er. Miller, "no" U/20/23 -2- Mr. Hamlin then moved anIroval of the application of the Shaw State Bank for a reduction in reserve requirements, as stated above. The motion of Yr. Hamlin being put by the chair the members voted as follows: Mr. Platt, "aye" Mr. Hamlin, "aye" 1.1r. James, "aye" Mr. Cunninjaam, "aye" Gat ernor Crissiner, "no" 4, Miller, "no" Lacking five affirmtive votes, the motion to approve the application for a reduction in reserve reiluire!nents was lost. this point, Mr. Davies entered the room. After further discussion, Mr. Hamlin moved that the Board reconsider the it s above adtion, with respect to the admission of the Shaw state 3a:rfi:r. and • , Tplication for a 'reduction in reserve requirements. Carried, the members voting as follows: .E2.att, "aye" Hamlin, "aye" Mr. James, "aye" Mr. Cunninham, "aye" lir. Dawes, "aye" Governor Crissinger, "no" Miller, "no" • Lir. Hamlin then moved that the Board advise the ahaVer State Bank the. it will be admitted to membership, but that the Board is not prerared t the Present time to pass on its application for lower reserves, the bank to beaav, ed, however, that after it has been in operation for a reasonable time, 1 Y renew said arplication. Unanimously carried. 1 The Cormittee on Examinations reported on letter dated rovember 20th, from the Assistant Federal eserve _-_gent at San Francisco, transmitting ap- Plication of the Mercantile Trust Company of San Francisco, to take over the Contra Costa County Bank of Pittsburg, California, and to establish a branch in its Lramisec; the Committee recommnding atproval in view of the fact that the aPPlication has the approval of the state authorities and of the Federal ileserve Bank of Jan Francisco, and in view of the policy adopted by the Board On rlovember 7, 1923. Upon motion of Mr. Hamlin, the application of the Mercantile Trust Commny was approved, Governor Crissiner and Mr. Miller not voting. Mr. Hamlin referred to the Board's action at the meetil]g yesterday 14 7°ting that all permissions for interlockin directorates granted under th ° 4rn AmendmAnt to the Clayton Act be reviewed by January 1st, and :r. 1:111 or presented a form of letter to all Federal Reserve Agents reuesting a nr., -villDrehensive review of the situation affecting interlocking directorates in the various districts, and re,luestinj; the Agents to include in their ref-, -4---vus a recommendation as to the proper disposition of each case. Ur. Miller moved that the letter to all Federal Reserve Agents be 41'13 roved. Mr. Hamlin moved as a substitute for ::12. Miller's motion that the letter be a:aended by striking out the last sent ence,to wit: " Include in r(1111* report a recomendation as to the proper disposition of each case", fro 23 lir. Hart'in I 2; substitute motion bein; put by the chair was carried, Mr. Miller voting "no". Upon not ion by ar. Hamlin, the amended letter was oIdered transmitted to all 2ederal Reserve kfents, Mr. Liillcr vet in; "no". this 2 - oint, Mr. James left the meeting. Mr. Platt then 7xesented the report of the Committee on. 2aaminations °11 the matter referred to it at the m')etin2; on:Tovemb ,?,r 6th, na:.-iely, lettei dated October ;9th, fro:-i Vederal 2eserve Agent at San 2rancisco, reports of examinations of the 3ancitaly Corporation and the 3tQckhoLlors Auxiliary Coxporation and a memomndurl f - rom Chief Examiner Stialgent with regard to these reports; the Jo2anhtee submitting and concurIn an analysis of the reports by the Board's Chief aminer and recom- Illendinc that all papers be circulated. Upon nut ion, the file above referred. to vz ordered circulated. Letter dated Hovember 26th, 1.1-om the ..issistant Secretary of the iTation41 "Association of CA-edit Men re alestin: an expression of the Board's o:inion i311 ( "rafts of proposed letters to mc,-,:bers of the Association and to all ban-.27.s ti.N. 0- 13t companies, transmil,tin: a pamphlet entitled "Checks payable at -far" —Lgesting the adoption of a plan for par pa4ment outlined therein. Ordered circulated. 1%21) 0 14t00 STAITDETCt COMIT-21rEES: rovember 26th, Recommending action on application for admission of state bank, subject to the conditions stated ,13126/23 11B. PO' s**1 orr , /1". • 3 (Cont in the individual reports attached to the a:i-Tlication, as set forth in the L...uxiliary Minute Book of this date* Approved* The meeting adjourned at r:
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