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1274 A meeting of the Board of Governors of the Federal Reserve Sys- 8 held in Washington on Friday, September 3, 1943, at 10:30 a.m. PRESENT: Mx. Mr. Mr. Mr. Mr. Mr. Eccles, Chairman Ransom, Vice Chairman Szymczak McKee Draper Evans Mr. Bethea, Assistant Secretary Mr. Carpenter, Assistant Secretary Mr. Clayton, Assistant to the Chairman Mr. Goldenweiser, Director of the Division of Research and Statistics Mr. Dreibelbis, General Attorney Mr. Wyatt, General Counsel Messrs. Piser and Kennedy, Chief and Assistant Chief, respectively, of the Government Securities Section, Division of Research and Statistics. There wer_e r presented telegrah,s to Mr. Paddock, President of the 44r4111e8erve Banjç of Boston, Messrs. Treiber and McCreedy, Secretaries orthe Federal Reserve Banks of New York and Philadelphia, respectively, 14''lletetrin, P resident of the Federal Reserve Bank of Atlanta, Mr. Dillard, Vice President of the Reserve Bank of Chicago, Mr. Stewart, SecreFederal Resee t111 of the Federal Reserve Bank of St. Louis, Mr. Gilbert, President of Pecieral Reserve Neerve B of San Bank of Dallas, and Mr. Hale, Secretary of the Federal : cha::ncisco, stating that the Board approves the estab144111e/A Without by the Federal Reserve Banks of St. Louis and San bel, 18" on August 31, by the Federal Reserve Bank of Atlanta on Septem4., by th0 Federal Reserve Banks of New, York, Philadelphia, Chicago, 1275 ( 043 -21:411148) and San Francisco on September 2, 1943, and by the Federal Reserve et Boston today, of the rates of discount and purchase in their ex- 134t Approved unanimously. Reference was made to the meeting which had been called to convene 14 a 1, 14-8"ington on Monday, September 6, 1943, of the special committee of tile l'I'eeidentst Conference on lending under Regulation V, and there was a (118ellsei°11 of some of the problems involved in the reconversion of industlIrr ing the war and the adjustments to be made in the postwar period. It ' w., 0 stated that it had been decided that the next meeting of Pe e al /‘ ()Pen Market Committee should be held in Washington on October !) 1943 'and there was agreement with a suggestion made by Mr. Evans jahllt a meeting of Federal Reserve Bank economists should be held in Washfollowing the meeting of the Federal Open Market Con- niff e. At this point Messrs. Goldenweiser, Ilreibelbis, Wyatt, Piser, and 41111edy With e"11 °t the The from the meeting, and the action stated with respect to matters hereinafter referred to was then taken by the Board: minutes of the meeting of the Board of Governors of the Fed- Re8erVe S yStelll held on September 2, 1943, were approved unanimously. Memorandum dated September 1, 1943, from Mr. Thomas, Assistant tiNtor, of the a Division of Research and Statistics, submitting the resig114ti°11c)t Mies Louise H. Larson as clerk in that Division, to become eft114 "of the close of business on September 17, 1943, and recommending t the l'eeignation be accepted as of that date. The resignation was accepted. 9/3/43 -3M emorandum dated September 2, 1943, from Mr. Paulger, Chief of te DiviSi°n of Examinations, submitting the resignation of lass Nancy Lee el, —Aelberg as a stenographer in that Division, to become effective as °r the close or business on September 18, 1943, and recommending that eignation be accepted as of that date. The resignation was accepted. Memorandum dated September 1, 1943, from Mr. Dreibelbis, General Attorlie7, recommending, for the reasons stated in the memorandum, that 111111dation of the 30 days' sick leave advanced john H. Hunley, a meser in the Ler;a1 Division, for the period January 20 through Februorl 23, 1943, be waived, and that in this respect the three advances of 81ek leave to Hunley, including the second advance for the period Feb24 though March 30 and the third for the period March 31 through 1943, which were granted with the understanding that such leave 171341 4ot be charged against any annual or sick leave which he might e‘ee11111111Elte in the future, be treated as one period for which liquidation llot be made. Approved unanimously. Letter /3()atoll, to Mr. Paddock, President of the Federal Reserve Bank of reading as follows: kitt."Referohce is made to your letter of August 24, 1943,, subtor ing the request of The Merrill Trust Company, Bangor, Maine, tilaliD7x%iss1on to acquire and carry on its books at not more axid 300,000 the bank buildings occupied by the head office Iderr of its branches, which properties are now held by the 1404 Mortgage Company, an affiliate of the bank through coinand. which is now in process of liquidation. The rcl 8 Perld881.011 is requested pursuant to the provisions of 1.<?.:7 'Pr 94/43 -4- an applicable condition of membership, numbered 8, which provides, in part, that: before any investment is made in a bank building or in a site for a bard: building the bank shall refer the matter to the Federal Reserve Board for consideration.' "It is understood that the trust company now carries in its inve stments 375,000 par value of debentures of the MerrillLorte l3;ge CCM')anY which have been shown in condition reports submitted atathe bank as investments indirectly representing bank premises, Dr, n that, in effect, the debentures are to be exchanged for the of7erties to be acquired and the difference of 475,000 charged tor ,It is noted, also, that you consider 000,000 a fair value in 6he buildings and that the bank's total investment in bankeg Premises, including vaults and furniture and fixtures, will or ktInt to 20.8 per cent of its capital account after completion wil,he Proposed transaction. In the circumstances, the Board -L-L interpose no objection." Approved unanimously. Letter to iar. Hult, Vice President of the Federal Reserve Bank of 80et 3 readin as follows: a "Reference is made to your letter of August 21, enclosing Of 1) 313Y Of a letter received by you from the First National Bank 1,1eri?”°n inquiring whether the War and Navy Departments and ree, "-me Commission will permit the continuance of commitment rol ;in excess of 1/4 of one per cent in cases where the new out2f guarantee agreement is substituted for guara,ltees now Q uanding. Alleu :For your information there is enclosed a memorandum, dated post8 t 24, from the tiavy Department regarding this matter. The It isl°n taken by the Navy Department is agreeable to the Board. Comm, 2-80 agreeable to both the War Department and the Maritime Approved unanimously. Letter to the Comptroller of the Currency, reading as follows: the :It Is respectfully requested that you place an order with or fnlIreall of Engraving and Printing, supplementing the order 1934-ne 15, 1943, for arinting of Federal Reserve notes of the Series for the Federal Reserve Bank of St. Louis in the 1278 13/43 -5- "following denamination and amounts: Number of ...Denp.„pllnation Sheets $5,000 10,000 100 50 Amount $6,000,000 6,000,000 Approved unanimously. Thereupon the meeting adjourned. Assistant Secretary. o Chairman.
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