The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
Minutes for
To:
Members of the Board
From:
Office of the Secretary
September 16, 1964.
Attached is a copy of the minutes of the
Board of Governors of the Federal Reserve System on
the above date.
It is not proposed to include a statement
With respect to any of the entries in this set of
minutes in the record of policy actions required to
be maintained pursuant to section 10 of the Federal
Reserve Act.
Should you have any question with regard to
the minutes, it will be appreciated if you will advise
the Secretary's Office. Otherwise, please initial
below. If you were present at the meeting, your
initials will indicate approval of the minutes. If
You were not present, your initials will indicate
only that you have seen the minutes.
Chm. Martin
Gov. Mills
Gov. Robertson
Gov. Balderston
Gov. Shepardson
Gov. Mitchell
Gov. Daane
Minutes of the Board of Governors of the Federal Reserve System
ell Wednesday, September 16, 1964.
The Board met in the Board Room at
10:00 a.m.
PRESENT:
Mr.
Mr.
Mr.
Mr.
Martin, Chairman
Balderston, Vice Chairman
Robertson
Shepardson
Mr. Sherman, Secretary
Mr. Fauver, Assistant to the Board
Mr. Johnson, Director, Division of Personnel
Administration
Mr. Hexter, Assistant General Counsel
Mr. Shay, Assistant General Counsel
Mr. Sammons, Adviser, Division of International
Finance
Mr. Daniels, Assistant Director, Division of
Bank Operations
Mr. Goodman, Assistant Director, Division of
Examinations
Mr. Leavitt, Assistant Director, Division of
Examinations
Mrs. Semia, Technical Assistant, Office of the
Secretary
Supervisory Review Examiner,
Egertson,
Mr.
Division of Examinations
Mr. McClintock, Supervisory Review Examiner,
Division of Examinations
Circulated or distributed items.
r hich
The following items, copies
are attached to these minutes under the respective item numbers
inclicated, were approved unanimously:
Item No.
Letet-r to Union Bank and Trust Company, Kokomo, Indiana,
oving the establishment of a branch on East Boulevard.
tettel-- to Citizens Banking Company, Anderson, Indiana,
1,1 °ving the establishment of a branch at 11th and
-14 Streets.
1
2
9/16/64
-2Item No.
letter to The Oregon Bank, Portland, Oregon, approving
the establishment of a branch in Salem, with the understanding that capital and surplus was to be increased
bY the sale of new common stock for cash prior to the
opening of the branch.
3
.4.?tter to Citizens Trust and Savings Bank, South Haven,
4
'
10ligan, approving a proposed investment in bank premises.
Letter to Chelsea National Bank, New York, New York,
glsanting its request for permission to maintain reduced
5
to Crocker-Citizens National Bank, San Francisco,
letter
corporation
'
e
6
r
eserves.
adfornia, granting permission to organize a
A.rider section 25(a) of the Federal Reserve Act, to be
:tr_Tn as Crocker-Citizens International Corporation,
"1°4n Francisco, for the purpose of engaging in international
!
,c) foreign banking or financial operations, and trans'41tting a preliminary permit.
tter to Chase International Investment Corporation,
:
e4 York, New York, approving an extension of time to
,
equire shares of Banque Ivoirienne de Developpement
4.naustriel, Abidjan, Ivory Coast.
7
etter to the Federal Deposit Insurance Corporation
me
egarding the application of Bank of Menomonie,
nomonie, Wisconsin, for continuation of deposit
plelsurance after withdrawal from membership in the
cleral Reserve System.
8
Let
ter9
to the Federal Reserve Bank of New York
ing payment to an employee of salary in excess
ao
the established grade maximum.
Messrs. Johnson, Shay, Daniels, Egertson, and McClintock then
threw
Ppplication of Mellon Bank International (Item No. 10).
elIteillber 15, 1964, the Board discussed information set out in a
On
'3 1 :1
9/16/64
-3-
distributed memorandum of September 11, 1964, from the Division of
4aminations regarding the application of Mellon Bank International,
Pittsburgh, Pennsylvania (a corporation organized under section 25(a)
Of the Federal Reserve Act), for permission to purchase common stock
HI-Koppers Cement Corporation, Makati, Rizal, Philippines.
It was
br°ught out that originally it had been planned that the equity in
111-Koppers would be divided equally between Koppers International
es A. (a wholly-owned subsidiary of Koppers Company, Inc.), and House
Investments, Inc. (a Philippine corporation).
However, since Philippine
1 limited holdings by single parties in basic mining enterprises to
'
141
15 Per cent of the voting stock, it was decided that those two participants
14°41d each take 15 per cent of the voting stock, and an additional 15
I5er cent would be offered to Mellon Bank International.
It was expected
that with the Bank's support, Koppers International and House of InvestInents would be able to elect at least six of the nine HI-Koppers directors.
It 14a5 planned that Koppers International would take all of the non-voting
Stock.
During discussion questions were raised as to the consistency of
the
Proposed investment with the spirit of Philippine law and with the
1314(134 Purpose of section 25(a) of the Federal Reserve Act to further the
r°reign commerce of the United States.
Question was raised also regarding
the Propriety of an Edge corporation entering into what appeared to be
elY an equity transaction, whereas section 25(a) contemplated operations
'
1111
el
9/16/64
c
-4-
in international finance and commerce. Action on the application was
deferred pending the obtaining of additional information bearing upon
these questions.
There had now been received a telegram, copies of which were
distributed at the meeting, indicating that House of Investments and
related companies would take at least 36 per cent of the voting stock
Of HI-Koppers.
That investment, added to the 15 per cent to be taken
by Mellon Bank International and 15 per cent by Koppers International,
1.1°1-11d total
66
per cent, which was enough to elect two-thirds of HI-
1C(31°Pers nine directors.
The telegram stated also that the proposed
41cling of the non-voting stock conformed with Philippine law, and that
the 15 per cent limit on voting stock in mining companies was frequently
Illet by splitting the voting stock among related companies, as House of
Ihvestments intended to do, but Koppers International did not intend to
--ow that plan.
The proposed capital structure and articles of
ille°rPoration of HI-Koppers had been submitted to the Philippine
Seettrities and Exchange Commission, whose jurisdiction extended to
0
1 8e1Y-held corporations, and whose approval was expected momentarily.
14ell°n Bank International would not invest until that approval was given.
t
elegram added that the project was attractive in helping the balance
'Dr 13aYments because most of the financing would come from sources outside
the
United States, whereas Koppers would receive payments for construction
Of
144-ant and for assistance in its management, and Mellon Bank International
a 1,,
tjJ.
9/16/64
I
-5-
aril. Koppers would receive dividends.
The project would help the Philippine
c°n°mY--specifically, the cement industry--by helping to insure availability
Of cement at a reasonable price for Philippine industrial development.
It
'
l/Ets believed that substantial opportunity would be offered for export of
United States equipment.
Governor Robertson stated that he believed that the question of
the Philippine law was not one for the Board but for the Philippine
EtUt
horities to decide on the basis of all the facts in front of them.
The
question of propriety of the investment for an Edge corporation,
11°1/ever, was significant because this was the first time this precise
i-ttlation had been presented since the adoption of the September 1963
• ision of Regulation K, Corporations Engaged in Foreign Banking and
l'illancing under the Federal Reserve Act.
Mr. Goodman commented that approval of the capital structure and
'
6.1rtieles of incorporation of HI-Koppers by the Philippine Securities and
tXelv4
-nge Commission did not necessarily mean that the Commission would
14110 the shareholders were, since House of Investments was really
• el08ed investment trust.
cture of HI-Koppers.
The Commission would know the corporate
As for the nature of the enterprise, there was
• b1
-42k market for cement in the Philippines, and it was hoped that the
1:)1'c)cilletive capacity of HI-Koppers would help to make the price more
144148tic. However, the investment would hardly mean that Mellon Bank
Itte
rnational would be in the cement business. The project might be
31_61
9/16/64
-6-
8aid to be developmental and, in his opinion, it was consistent with the
sPirit of the Edge Act; the Board had given approval to some transactions
that Were substantially similar.
Governor Robertson observed that the basic question was whether,
1/nder Regulation K, the transaction could be said to be designed to
rtIrther the foreign commerce of the United States.
The development of
the cement industry of the Philippines was a perfectly worthy purpose,
/314 whether it justified investment by an Edge corporation was a difrerent matter.
In his view, approval of the application would set a
1)1'ecedent under Regulation K for an investment that would not further
the commerce of the United States.
Chairman Martin said that his general approach to the whole question
trade was that almost any investment abroad that led to exports of
ecilliPment or material helped commerce; as he saw it, failure to recognize
th4t fact, in the light of the changes that had occurred in the world
111 the past 15 to 20 years, would have caused the United States to lose
4 l'eat many opportunities if it had not been for the work of the Export-
11111t Bank.
He added that he gave little or no weight to the claim
that the transaction would help the balance of payments problem; the
1/111ollrit involved was too small.
Governor Robertson stated that, while he would not question a
or the purpose here sought, if the Board approved an equity
'
31
"
9/16/64
-7-
investment in a cement plant, he could not see that a limitation could
e°nsistently be placed on any investment by an Edge corporation, and
the need for approval of investments might as well be eliminated. Regulation K purported to limit Edge corporation investments unless they
met certain conditions, but the limitations in the regulation appeared
to mean nothing in the present application.
After further discussion, the application was approved, Governor
Robertson dissenting for the reasons he had expressed.
A copy of the
letter informing Mellon Bank International of the Board's action is
attached as Item No. 10.
Messrs. Hexter and Sammons then withdrew.
Check clearing function at Cleveland Reserve Bank.
Governor
841clerston, referring to concern the Board had felt about a year ago
l'earding the check clearing operation at the Federal Reserve Bank of
Cleveland, commented that during his visit at the Bank earlier this week
he 1,
"ad been shown operating data that reflected a substantial inprovement.
Banks owned by business.
Governor Robertson asked Mr. Fauver
It 411Y information released by the Board might have formed the basis for
411 article in today's Wall Street Journal regarding acquisition of banks
bYblasinesses.
Mr. Fauver responded that there did not appear to be any
l'elation between the article and any material recently published by the
'u) although there might be some connection with the Board's recome tion to Congress, expressed in the Annual Report for 1963 and earlier,
l'
'
9/16/64
that
-8-
the Bank Holding Company Act be extended to cover one-bank holding
eQIIIPanies.
4
Governor Robertson commented that the article might point to
growing public recognition of a trend that the Board Should watch care-
r1114. A number of banks had been acquired by businesses that sought to
Use
the financial resources of the banks as part of their over-all busi-
ness.
In his view, it would be well for the Board to be alert to problems
that might arise from such arrangements, even if the extension of the
Holding Company Act that the Board had recommended was not adopted.
The meeting then adjourned.
Secretary's Notes: Governor Shepardson
today approved on behalf of the Board
the following items:
a
Letter to the Federal Reserve Bank of Cleveland (attached Item No. 11)
°Iring the appointment of Robert T. Meredith as assistant examiner.
'
14)1
te
Memorandum from the Division of Research and Statistics dated Sep!
co ber 9, 1964, recommending the appointment of Francis R. Pawley as
110"slatant in that Division, effective to December 31, 1964, on a tem,:al'Y contractual basis with compensation at the rate of $60 per day
tol
ta;.each day worked for the Board and, when in travel status, transport lc'n expenses and per diem to be paid in accordance with the Board's
l'avel regulations.
In accordance with Executive Order No. 11176 and
the Treasury regulations issued under that order,
a letter was sent today over the signature of
Chairman Martin to the Secretary of the Treasury
requesting that information returns made by
commercial banks under section 6011(d)(2) of the
Internal Revenue Code of 1954, as added by section
3(a) of the Interest Equalization Tax Act, be open
to inspection at the Treasury Department's offices
by four specified members of the Board's staff
duly authorized by the Board. A copy of the letter
is attached as Item No. 12.
C
Secretair
1, 1, Ne t, I
3164
Item No. 1
9/16/64
BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADOREE19 orricIAL CORRESPONDENCE
TO THE BOARD
September 16, 1964.
Board of Directors,
Union Bank and Trust Company,
Kokomo, Indiana.
Gentlemen:
The Board of Governors of the Federal
Reserve System approves the establishment by
Union Bank and Trust Company, Kokomo, Indiana,
of a branch at 920 East Boulevard, Kokomo, Indiana,
provided the branch is established within one year
from the date of this letter.
Very truly yours,
(Signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secretary.
the
(The letter to the Reserve Bank stated that
ion
Board also had approved a six-month extens
;
of the period allowed to establish the branch
ted,
and that if an extension should be reques
the procedure prescribed in the Board's letter
ed.)
of November 9, 1962 (S-1846), should be follow
1
Item No. 2
9/16/64
BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESPONDENCE
TO THE BOARD
September 16, 1964.
Board of Directors,
Citizens Banking Company,
Anderson, Indiana.
Gentlemen:
The Board of Governors of the Federal
Reserve System approves the establishment by
Citizens Banking Company, Anderson, Indiana, of
a branch at the southeast corner of the intersection of 11th and Main Streets, Anderson, Indiana,
provided the branch is established within one year
from the date of this letter.
Very truly yours,
(signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secretary.
(The letter to the Reserve Bank stated that the
Board also had approved a six-month extension
of the period allowed to establish the branch;
and that if an extension should be requested,
the procedure prescribed in the Board's letter
of November 9, 1962 (S-1846), should be followed.)
66
BOARD OF GOVERNORS
Item No.
OF THE
3
9/16/6
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFTICIAL CORRESPONDENCE
TO THE BOARD
September 16, 1964.
Board of Directors,
The Oregon Bank,
Portland, Oregon.
G
entlemen:
The Board of Governors of the Federal Reserve System approves
the establishment of a branch by The Oregon Bank at the northeast
corner of Center and Church Streets, Salem, Oregon, provided the branch
iS established within one year from the date of this letter.
It is understood that capital and surplus will be increased
bY at least $500,000 by the sale of new common stock for cash prior to
,411e opening of the branch. The •Board of Governors notes that Vice
4res1dent Galvin of the Federal Reserve Bank of San Francisco emphasized
,411 his letter to you of August 20, 1964, the need for strengthening the
:
?ank's capital position over and above the $500,000 proposed increase.
:n even larger sale of new stock would aid in providing for the present
1 4Pital needs of your bank and in providing for future growth of your
,
,:ank on a sound basis. The Board strongly concurs in Vice President
'alvin's comments in this regard.
Very truly yours,
(Signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secrttary.
(The letter to the Reserve Bank stated that the Board also had
aPProved a six-month extension of the period allowed to establish
the branch; and that if an extension should be requested, the
Ifrocedure prescribed in the Board's letter of November 9, 1962
ks-1846), should be followed.)
3167
BOARD OF GOVERNORS
Item No.
4
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON 25, D. C.
ADDRESS OFFICIAL CORRESPONDENCE
TO THE SOAR()
September 16, 1964.
Board of Directors,
Citizens Trust and Savings Bank,
South Haven, Michigan.
Gentlemen:
Reserve
Section
ment in
Savings
for the
and the
lot.
The Board of Governors of the Federal
System approves, under the provisions of
24A of the Federal Reserve Act, an investbank premises by Citizens Trust and ,
Bank, South Haven, Michigan, of $350,000
remodeling of its main office and a branch
acquisition and improvement of a parking
Very truly yours,
(Signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secretary..
3168
Item No.
BOARD OF GOVERNORS
5
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESI4 D141).
TO THE UOARD
September 16, 1964.
Board of Directors,
Chelsea National Bank,
New York, New York.
Gentlemen:
With reference to your request submitted through
the Federal Reserve Bank of New York, the Board of Governors,
acting under the provisions of Section 19 of the Federal
Reserve Act, grants permission to the Chelsea National Bank
to maintain the same reserves against deposits as are required
to be maintained by nonreserve city banks, effective as of the
date it opens for business.
Your attention is called to the fact that such
Permission is subject to revocation by the Board of Governors.
Very truly yours,
(Signed) Merritt Sherman
Merritt Sherman,
Secretary.
Item No.
BOARD OF GOVERNORS
6
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESPONDENCE
TO THE BOARD
September 16, 1964,
Mr. Joseph F. Hogan,
First Vice President,
Crocker-Citizens National Bank,
1 Montgomery Street,
San Francisco, California 94120.
Dear Mr. Hogan:
The Board of Governors has approved the Articles of
Association and the Organization Certificate, dated July 8, 1964, and
as amended August 31, 1964, of Crocker-Citizens International
Corporation, and there is enclosed a preliminary permit authorizing
that Corporation to exercise such of the powers conferred by
Section 25(a) of the Federal Reserve Act as are incidental and
Preliminary to its organization.
Except as provided in Section 211.3(a) of Regulation K,
may not exercise any of the other powers conferred
Corporation
bh
°Y Section 25(a) until it has received a final permit from the
Board authorizing it generally to commence business. Before the
80ard will issue its final permit to commence business, the
President, controller, or secretary, together with at least three
of the directors, must certify (1) that each director is a citizen
Of the United States; (2) that a majority of the shares of capital
stock is held and owned by citizens of the United States, by corPorations the controlling interest in which is owned by citizens
of the United States, chartered under the laws of the United States
or of a State of the United States, or by firms or companies the
co ntrolling interest in which is owned by citizens of the United
S
tates; and (3) that of the authorized capital stock specified in
the Articles of Association all shall be subscribed and not less
than $2,000,000 shall be issued and fully paid.
Article FOURTH of the Organization Certificate and
Article SEVENTH of the Articles of Association provide that the
au thorized capital stock of the Corporation shall consist of 50,000
shares of $100 par value stock, of which, prior to the commencement
°f business, all shall be subscribed and not less than $2,000,000
BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM
Mr. Joseph F. Hogan
-2-
of the $5,000,000 authorized shall be issued and fully paid in.
It is understood that all outstanding shares will be fully paid.
The Board of Governors hereby consents that the remainder of
the capital stock of the Corporation may be paid in upon call
from the board of directors of the Corporation, provided that
the Board of Governors shall have approved each such increase in
Paid-in capital not more than 90 days prior to the date on which
the increase is paid in.
Very truly yours,
(Signed) Elizabeth L. Carmichael
Elizabeth L. Carmichael,
Assistant Secretary.
Enclosure
70
3171
BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON
September 16, 1964
Preliminary Permit
IT IS HEREBY CERTIFIED that the Board of Governors of the Federal
Reserve System, pursuant to authority vested in it by Section 25(a)
Of the Federal Reserve Act, as amended, has this day approved the
Articles
of Association and Organization Certificate, dated July 8,
1964, and as amended August 31, 1964, of CROCKER-CITIZENS INTERNATIONAL
eftPORATION duly filed with said Board of Governors, and that CROCKERCITIZENS INTERNATIONAL CORPORATION is authorized to exercise such of
the Powers conferred upon it by said Section 25(a) as are incidental
4°4 preliminary to its organization pending the issuance by the Board
°f Governors of the Federal Reserve System of a final permit generally
to commence business in accordance with the provisions of said Section 25(a)
4°4 the rules and regulations of the Board of Governors of the Federal
44erve System issued pursuant thereto.
BOARD OF GOVERNORS OF THE
FEDERAL RESERVE SYSTEM
(SEAL)
By
(Signed) Elizabeth L. Carmichael
Elizabeth L. Carmichael,
Assistant Secretary.
3i72
Item No.
BOARD OF GOVERNORS
7
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
C`
,
ADDRESS OFFICIAL CURRESPONDE!
TO THE SOARD
September 16, 1964.
Chase International Investment Corporation,
1 Chase Manhattan Plaza,
New York 5, New York.
Ge
ntlemen:
Reference is made to your letter of August 27, 1964,
ranemitted through the Federal Reserve Bank of New York, retcIlil_esting an extension of six months from September 30, 1964 of
ne time within which your Corporation may acquire shares of
8Dnque Ivoirienne de Developpement Industriel ("BIDI"), Abidjan,
I 151.•Y Coast, at a cost of about CFA Francs 60 million, or approx'
mately US$250,000 (equivalent), under the specific consent granted
DY the Board of Governors on September 30, 1963.
Your letter of May 6, 1964 reported that, in accordance
with the corporate law and practice in the Republic of the Ivory
C°4et, the par value of each share of the capital stock of BIDI
1411 be CFA Francs 5,000 rather than CFA Francs 1,000 and that
Your Corporation would acquire 12,500 shares rather than 62,500
as s
ubmitted in your original proposal.
It is noted from your letter of August 27, 1964 that
not contemplated that the proposed investment will be made
to September 30, 1964, but that negotiations are proceeding
arid the
basic investment as described in your letter of September 18,
1963 has not changed materially.
it i
In accordance with your request, the Board extends to
11erb
c.= 31, 1965 the time within which your Corporation may purchase
the
Shares of BIDI.
Very truly yours,
(Signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secretary.
),
4e)
Tri
Item No.
BOARD OF GOVERNORS
8
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESPONDENCE
TO THE BOARD
September 16 1964.
14r. Timothy J. Reardon, Jr.,
A
ssistant to the Chairman,
ecleral Deposit Insurance Corporation,
Washington, D. C. 20429
Dear Mr. Reardon:
Reference is made to your letter of September 9, 1964,
011cerning the application of Bank of Menomonie, Menomonie,
iseonsin, for continuance of deposit insurance after withdrawal
,
'rft membership in the Federal Reserve System.
There have been no corrective programs urged upon
the bank, or agreed to by it, which have not been fully consummated,
arid, in the Board's opinion, there are no such programs that it
ruld be advisable to incorporate as conditions of admitting the
bank to membership in the Corporation as a nonmember of the Federal
"serve System.
Very truly yours,
(Signed) Karl E. Bakke
Karl E. Bakke,
Assistant Secretary.
I
Item No.
BOARD OF GOVERNORS
9
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESPONDENCE
TO THE BOARD
September 16, 1964.
CONFIDENTIAL (FR)
Mr. Walter H. Rozell, Jr., Vice President,
Federal Reserve Bank of New York,
New York, New York. 10045.
Dear Mr. Rozell:
For reasons outlined in your letter of September 4:
1964, the Board of Governors approves the payment of salary
in excess of the established grade maximum to Mr. Owen G.
Patterson in his position as Semi-Senior Auditor. It is
noted that Mr. Patterson will not be eligible for further
salary increases unless he is reassigned to a higher grade
or the maximum of the grade is raised.
Very truly yours,
(Signed) Merritt Sherman
Merritt Sherman,
Secretary.
3175
.....
is)0? Got,i.
BOARD OF GOVERNORS
Item No. 10
OF THE
9/16/64
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS OFFICIAL CORRESPONDENCE
A‘c,'1 •
RESV"
.
.
TO THE BOARD
September 16, 1964.
Mellon Bank International,
cio Mellon National Bank and Trust Company,
Mellon Square,
Plttsburgh, Pennsylvania.
G
entlemen:
In accordance with your request dated July 31, 1964,
and on the basis of information furnished, the Board of Governors
grants consent for your Corporation to purchase and hold 1,200,000
hares, par value Philippine Pesos 1 each, of the voting common
S tock
of HI-Koppers Cement Corporation, Makati, Rizal, Philippines,
at a cost of approximately US$300,000, provided such stock is
acquired within one year from the date of this letter.
The Board also approves the purchase and holding of
shares of HI-Koppers Cement Corporation within the terms of the
above
consent in excess of 10 per cent of your Corporation's
eaPital and surplus.
Very truly yours,
Karl E. Bakke,
Assistant Secretary.
3176
BOARD OF GOVERNORS
Item No. 11
9/16/64
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
ADDRESS
orrocom. CORRESPONDENCE
TO THE BOARD
September 17, 1964.
CONFIDENTIAL (FR)
Mr._HarryI4. Huning, Vice President,
Federal Reserve Bank of Cleveland,
Cleveland, Ohio. 44101
Dear Mr. Huning:
In accordance with the request contained in your
letter of September 14, 1964, the Board approves the
appointment of Robert T. Meredith as an assistant examiner
for the Federal Reserve Bank of Cleveland. Please advise
the effective date of the appointment.
It is noted that Mr. Meredith is indebted to
first National Bank in Marietta, Marietta, Ohio. Accordingly,
the Board's approval of the appointment of Mr. Meredith is
given with the understanding that he will not participate in
any examination of that Bank until his indebtedness has been
liquidated.
Very truly yours,
(Signed) Elizabeth L. Carmichael
Elizabeth L. Carmichael,
Assistant Secretary.
3117
Item No. 12
9/16/64
BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON
OFFICE OF THE CHAIRMAN
September 16, 1964.
The Honorable Douglas Dillon,
Secretary
of the Treasury,
Washington, D. C.
Dear
Doug:
In accordance with Executive Order No. 11176 and the
Treasury regulations issued under that order, the Board of Governors
°f the Federal Reserve System hereby requests that information returns
1 de by commercial banks under section 6011(d)(2) of the Internal
.1ade
R.
Code of 1954, as added by section 3(a) of the Interest
r414alization Tax Act, be open to inspection at the Treasury Departs offices (IET Reporting Unit, Office of Balance of Payments),
dashington, D. C., by the following members of the Board's staff
41Y authorized by the Board:
1.
Ralph A. Young, Adviser to the Board and Director,
Division of International Finance;
2.
Frederick R. Dahl, Chief, Special Studies and
Operations Section, Division of
International Finance;
3.
Robert F. Gemmill, Economist, Special Studies and
Operations Section, Division of International
Finance; and
4.
Frederick B. Ruckdeschel, Economist, Special
Studies and Operations Section, Division
of International Finance.
Procedures have been established within the Board of Governors
to
m assure that inspection of these returns will be limited to the
-embers of the Board's staff named above.
Sincerely yours,
Wm. McC. Martin, Jr.
@FedFRASER