The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
At a meeting of the Executive Committee of the Federal Reserve Board, held in the Board Room on October 8, 1918, at 11:25 A.M., PEIZENT: Mr. Mr. Mr. Mr. Harding, presiding Hamlin Miller Broderick, Secretary. Morning business was presented and disposed of as follows: Telegram dated October 3d, from the Federal Reserve Agent at $t. Louis, requesting permission to establish special rate of 4;; on paper 16 to 90 day maturity, secured by Fourth Liberty Loan bonds, where paper rediscounted has been taken by discounting member banks at rate not in excess Of coupon rate of said bonds, and reply by Governor, dated October 4th, approving same. Approved. (At this point Mr. Williams joined the meeting). Letter dated October 2d, from the Federal Reserve Agent at Kansas City, submitting vote of the Board of Directors of the Federal Reserve Bank of Kansas City that the per diem fee of members of the Executive Committee of that Bank be increased from ten to twenty dollars. Disapproved. Letter dated September 23d,from Mr. Pierre Jay, submitting report in re modified plan of election of members -2of the Federal Advisory Council. Noted. The Comptroller of the Currency submitted designs for Federal Reserve notes of the denominations of $500, 45,000 and '1;10,000. Voted to approve the designs submitted for the 4,3500 and '1,000 denominations; revised designs to be submitted for notes of the i5,000 and c?10,000 denominations, in view of the fact that signatures of United States officers appear above instead of below the obligation to pay. Letter dated October 4th, from the General liecretary of the American Bankers' Association, submitting various resolutions adopted by the Association. Referred to tie Governor with power. A general discussion was had of banking standards prevailing in different state banking institutions, and it was suggested by Dr. 1:iller that when next the New York State Banking Department examined the Guaranty Trust Company of New York, the Federal Reserve Bank of New York or the Federal Reserve Board have their examiners participate In such examinations. The Comptroller of the Currency stated he would be very happy to lend to the Federal Reserve Bank the assistance of his examining force in the New York district upon such occasion. -3The Governor reported that at the request of the Federal Reserve Bank of Atlanta, under date of October 5th, he had arranged for the rediscount by that Bank of five million dollars of receivables at a rate of 4-3/4, as follows: Federal Reserve Bank of Cleveland —42,000,000 Federal Reserve Bank of Philadelphia. 2,000,000 Federal Reserve Bank of Kansas City.. 1,000,000 Approved. Letter dated October 1st, from Deputy Chairman Peabody, Federal Reserve Bank of New York, and correspondence from Mr. Glass, in re exchange charge of 1/10 of 1;; on checks drawn on the National Exchange Bank and First National Bank of Roanoke, Virginia. Referred to Governor, to advise Mr. Glass upon latter's return. The Governor stated that the President had proclaimed Saturday, October 12th, as Liberty Day, and had ordered all Government offices to be closed that day. After discussion, it was voted that the Board's offices, including its telegraph office, be closed October 12th, and that the figures for the weekly statement be taken as of the close of business on Thursday, October 10th, rather than Friday, October 11th. Memorandum of the purchase, under power of attorney filed by the respective Reserve Banks, of special -42;:2 certificates of indebtedness of the United States, for deposit with the Comptroller of the Currency as collateral for Federal Reserve bank notes, as follows: Federal Reserve Bank of: St. Louis New York Cleveland Chicago Chicago Date Oct. ft u u .1 5, 1918 u 5, u 7, u 7, 7, Amount 44,000,000 4,000,000 1,000,000 1,000,000 1 Ou0 000 48,000,000 Approved. Several applications for permission to exercise fiduciary powers were presented together with Counsel's memorandum, dated October 5t, calling attention to the fact that applications which have not heretofore been acted upon must be acted upon under authority of Section 11(k); suggesting that pending applications be held until forms are ready, and that they then be referred to the Federal Reserve Agents for information which must be obtained from them and counsel of the banks; that such application then be returned and handled under the new form. Voted that definite action upon all applications be deferred until the first meeting in December, in order to give all national banks that desire to do so, an opportunity of filing appli3ations for trustee powers, under the Federal Reserve Act as amended, and to prevent any possible injustice that might arise from the granting of such powers to institutions in particular localities in advance of granting such powers to their competitors. -5Letter dated October 3d, from E. L. Ellis, of the Hessig-Ellis Drug Company, Memphis, Tennessee, suggesting ruling by the Board that Liberty Bonds be classified as "quick assets" in analyses of financial statements. Ordered tabled for meeting on October 11th. Letter" dated October 4th, from First National Bank in Brooklyn, New York, submitting petition signed by several banks in that city, requesting that they be permitted to maintain reserves under Section 19 of the Federal Reserve Act, as amended, as specified under paragraph B (for reserve cities) rather than as specified under paragraph C (for central reserve cities) of said section. The Governor stated that under date of October'5th he had addressed a letter to all Federal Reserve Agents, asking for an expression of their views upon this subject. RZPORT OF COMITTEE NO. 1: Dated October 7th, recommending admission of State institutions as set forth in the auxiliary minute book as of this date, subject to the conditions stated in the individual reports attached to each application. CHANGES IN BOARD'S STAFF: The following appointments were approved: Division of Audit and 1!.xamination: Name Position IZr.Ealph Chapman, Federal Reserve examiner Salary 42,700 Date Effective Upon arrangement for release by Federal Reserve Bank of Minneapolis. r7;-b;), c secretary's Office: Name Miss Ruth A. Westergren, Ulysses S. Evans, Position Salary Stenographer, ,„;1,200 Asst.in Mails & Files Room, 1,100 Date Effective Oct.9,1918 Oct.16,1918 Division of Foreign :alxchange, New York: Miss Dorothy Parvin, Miss PaulineTutcher, Miss Lvalina Graham, Charles Holly, Mrs. Elizabeth Kervan, Miss Laurenze Cooper, Miss Alma Islip, 1,200 Clerk, 720 File Clerk, 750 File Clerk, 540 Office Boy, 720 Asst.in Filing, Asst.in Piling, 1,100 Stenographer 1,200 and Typist, Oct.10,1916 Vt 7, II Of ft It ft 7, VV 7, 7, 7, ft 7, It Vt Vt Division of Issue and Redemption: Miss Julia D. Murphy, Emily 6. Waters, Clerk-Counter, Clerk-Counter, 900 900 At 12:20 P.M., the meeting adjourned. Approved: 1ept.28,1918 Oct. 2, 1918
@FedFRASER