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265 A meeting of the Federal lieserve Board was held in the office of the Federal Reserve Board on Thursday, October 14, 1926 at 11:15 a.m. PRESENT: PRESENT ALSO: Governor Crissinger Mr. Platt Mr. Miller Mr. James Mr. Cunningham Mr. McIntosh Mr. Eddy, Secretary MtClelland, Asst. Secretary Mr. Y. B. 7ellborn, Governor, Federal Reserve Bank of Atlanta. Mr. Oscar Newton, Chairman, Federal Reserve Bank of Atlanta. Governor Wellborn referred to the conference held in New Orleans on licndaY, October 11th, which he attended and advised the Board of the discussions which took place with reference to the present cotton situation. He Presented a statement of the remarks which he himself made at the confer- Thereupon ensued a general discussion of conditions in the cotton industry. :Ir. Newton referred to a resolution adopted by the board of directors Clf the Federal Reserve Bank of Atlanta at its meeting on October 8th and stated that in accordance with that resolution he and Governer '::ellbern had come to ':ashington as a comndttee to submit to the Board for its approval a Proposed circular letter to member banks in the Sixth Federal Reserve District exPlanatory of the attitude of the Federal Reserve Bank of Atlanta in the Present cotton situation. He presented to the Board the following imposed c ircular letter: "In order that there may be no misunderstanding of the attitude of the Federal Reserve Bank of Atlanta, you are advised that it stands ready to extend the necessary credit to member banks for the purpose of harvesting and marketing in an orderly manner the 1926 cotton crop. Advances will be made, 266 10/14/26 "as heretofore, to member banks on notes, drafts and bills of exchange issued or drawn in accordance with the terms of the Federal Reserve Act and the regulations of the Federal Reserve Board. Member banks desiring to aid their customers in the orderly marketing of the current crol? may do it with the knauledge that the Federal Reserve Bank of Atlanta is in a strong condition and that the bank is alive to the difficulties of the present situation." After further discussion, Mr. Platt moved that the Federal Reserve Board interpose no objection to the Atlanta bank aWlressing the proposed circular letter to its members. Mr. Platt's motion being put by the Chair was carried, Governor Crissinger voting "no". The meeting adjourned at 12:45 p.m. Approved:
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