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7/17/2019 056_081_06.pdf
http://slidepdf.com/reader/full/05608106pdf 1/84
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1
Wi
th Sr
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vor
by
the
19
adin
g
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ers
o
f t
he
Go71
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ttel
on
_
4.
ii
rren
Cy
of the
l
ast
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us
e
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,
sen
tati
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a
n
a
e.o
1,)1
•o1.i
se;
but
th
ey
di
d
not
oon
-
s
ci
t31
L
I1
rit
,
a
bill for
: urpose
unless
sat
I
s
ans
ura
nee
s
Ih
r‘»m-
:
1
..hat
no i
b ,,1,
of
mer41
.)
orf;
o
or
i - -
rel
is
fro
m
the
th
woul
, he
7Vi
ll1f
l
to
vo
te
f
or
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n
;h
et
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ret
ire
t
he
51',
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s
;t
r
ot
h
T
roa
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y
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es,
a
nd
so
rie
af
3:31Z
ra 11/
0.re
ivo
n
b
::e
ntle
-(;,
1
who
: r
ofqs
sed
to
k
now
t
he nent
ime
nts
or
t
:
leop
le of
s
ect
ion
o
f
the o
oun
try
t
hat
so_
oh
v
ote
cou
.1(,
,;
ob
tai
ned
.
a
s
we
1a
r. 7:
rl
oro
t.
u
t
hirt
y
y(h
Irs
, J
n-
(i or
a
ink in
'
Ftor
n
Is
i
h an
who
lly
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4
-d
by
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One
it
ri
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io n.
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d.
)
1.1:.)
.1.1c
a
t; I.
-
in
cLal
ina
*
t
he
la
wyP
irs
a
nd
b
ank
ers
hay
° f
or.
that Concres;
.
Coos not
>onness
all
the
power to 1
,1[7ir.tate
or.
-u
hle
et
of
1
it.rt
king.
I
non
-)
of
t
ilt)
di
sou
snio
nr;
of
th
e
:rro
blor
is,
lth
eth,r
in
t.;
e
pren
n
o
r
ton
u.;r
esF:,
h
as
r)
-
L
ii- •
‘,
,r,
1,11 i
n
ho
r
adc3
Ll
)at t
e
tc
1
.V
:13
At
l.U.C
OS
1
17`,17
‘)
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power to
.'olieve
the
siL,ation,
whereas
in
fact
the/
could
in
a
"or'
1.
;o
meu ture
enact laws
t'at
woulcr, very
,id
in
the
ciolution
of theve
probtells elievia;
that
to
several
5tates
of
V.e
'Jnion
have
as much
power
as
.:onnress
to
ch.:xter
banks of
iEsue„
wHm
such b
.
Lks
e
Cesired
o
am: to
exenpt
them
fron
aleral
taxation anC
sloervLsion,
1
now
A"esent
th.at,
remedy
or
consideration, as
on
that :in
be
:maintained upon
constitil-
tional
t:rounds.
Tho;.)ower
to onict
laws
proviCking
for
of )a)e:o
lonfv
an the
reuiRtion
o:
it s
volume
acorOin
to
the
6
,riand
foi• its
circulation if;
not
r st ,Jii
cwolusivi:ly
in
Coni;ress
by
the
7ithin
well
f..:; theC.
limits
t.ny
,ate
lefLislature
may
exercise
that powiw
_oordin:: to own
zHiscretion
t
regard-
less
of
any
ep6e:.
al
restrictions, by
taxation or
et:Jorwise,
tiT,t
ConL:ross
?)as
itlosed
'pon
the notes of
't:11,e
banks
i ,3ue
for
circulation
money.
Therefore
t::e
of
any
aate who ar
7 not
,Iltisfied
with
the existinp;
monetary
systum
shoul
)a.y
to
,,h'ar own
lei;-
islature for
6sir
:::e
rolieLY as
B
tead
of wastin
.:
theip
efforts ia
IvAn
ap.lef
an
to
ion .;res
amonthientr3
to 1 f..
11.ws, or
.
.;n1imity3o
ii;suef;
of
w
greonbacks,
u anc:
other
United
SL:U.es
motes.
To 2-
1;11
ux11
such a
c:ourso
woul(k
roliev
e the two
:Totit
political .rLien
and
oonrrress
from
endless
eincuioas
of
L'Io ymone:"
tia6tion,"
7/17/2019 056_081_06.pdf
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7
.
r.t
kin
;
1
locJ1
.1
if
,,:ne
in
t
he
d
is:m
tis
fier
:.
S
tat.
:ea.
T
he
nt
ro
nth
of
t
ho
m
ove
men
t in
t
he
S
Ait
h
a
nd
', l
est
f
or
t
he
f
re
e
c
oin
a,
;o
of
s
ilv
er,
at
it
s fi
xed
r
ati
o
of
13
to
1,
is
due
not
so
.11i
C
to
a
esire
onth'..3
part of the
eople of those
s
ect
ions
t
o oilo
n
zn
intF
- t
o
tha
t
,
ne
tal
, as
to
tho
e
1ie
f
tha
t
the
oxf
isti
ty:
v
olu
me
of m
ono
.
s
in
suf
fic
ein
t, a
n.0
th
at
t
he
p
ric
es
o
f
t
'ne
ir s
tap
le
L)
I•od
ucts
a
re
cu
e t
o t
hat
c
aus
e.
.
‘sel.
.iev-
in3
t
his
, it
is
not
yt1
'an:
y2
th
*
s
tro
ngl
y re
son
t
in y
p
rop
o-
s
iti
on
l
ook
irv:
to
t
he ,.
oti
reli
ent
of
rr.'
,en
.
.acic
s
and
o
the
r
Un
ited
.
r;ta
tes
no
tes
, an(i
..-tro
h.r .)r
,til
o to
L'r
:Ii
.
t
.o
n
at
ir
ab
-
so
lut
ely
nec
ess
ary
to
ii
ritt
i
th
at c
urr
enc
y, am;
go
l,
an
d
sil
-
ver
.
,
01.n
,
at
par
.
I
f
th
ese
peo
ple
kne
w
t
her
e
con
sti
t-
l
tio
nal
r
icr,
hts
th
ere
wo
uld
be
v
ery
lit
tle
op
)os
iti
on,
on
th
eir
par
t,
t
o the
sp
eed
y
rem
t
irerlent
of
e'ror
Th1
Lo(:
t
i.t05 pa
ier dollar,
an
the
main
ton-
a
nc
o
of
th
e gol
d
sta
nda
rd;
bout
:v.:
se b
ank
s o
f i
ssu
e,
sim
it.
r
to
t
he
old
St
ate
n,
coul
d.
be
...
Auth
oriz
ed
b:;7 t
he
f
tat
e
lec
;irA
a-
tur
es o
n
as
sl
-tfo
ba
sis
as
th
e
r
a
tio
nal
'an
ks,
nd
the
::
wo
ul:i
b
e
MAR-
ri
wth
h
o
r
ad
apt
ed
t,ha
n the
l
att
i
r
tc a
ffo
rd
them
ba
nkin
c;
a
n
pz*
))1
r
vol
ume
o
f
d
irc
,la
t
ion
.
-
An
d
of r;
(qar'
se ,
the
Lr
,1(;a1
.
,i wa
nt
Cle
ir b
ank
not
es to
be
as
i;o
od as
olo
.
.
,71eV
ii.-2r
a
24„
:to
sh
ould
o
.
•
sho
uld
no
t
est
abl
ish
s
uch
a
b
lnk
in s
yst
om,
is
m
ere
ly
a
que
sti
on
of
00
0no
ny an
d
po
lio
y
f
or
1
e,;_
71s1
atur
e
to
det
erm
ine
u
ndf.
:r
the
L
ate
C
onst
it:
;ti
on.
It
7/17/2019 056_081_06.pdf
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be
1:1(•e
s
if°
as the
present
one,
an,:
-
.'"nr
more
eco2lorli-
al
:,1.n. 7
onv
n
i
out
to tho eopi
o
thin
one
which
y..0.1t
C
ircu-
1 ation to a
nin 7 or
cent
t
t
on on
the
-
)ar
value
ed
States
bonds
which bear hitt
low
inte:-est,
7
rh
it-
-
•.
hich -
the
rerta t
b
:n ,
;
t;1 -
11:
in
tho3e
parts of
countrj
whore
loans
cor
iand
hi.r:t
rates, (the
South
and
West)
clr.not
a
'ford
to inc .e3se
such
expensive
cir-
oulo.ti )n
as
th
s .g1
on
inited
St.ites
bonds. Thiv;
C.s.. 'ect
in
:t
tonal
1
rnit
laws,
and
th
,
3
absurd
one
of
takin;;
the averaco
(Arculation
of
the banks,
are
well
ry.ese:?nte0 in
teFltateme:it
of
the
Comptroller of the
Currency,
on
;;:c31.1 OS
,
ni
e
be-
fore
the
.3o -,
riittee
on
ankirp;
an
t'ur.ency
of the
uouSe
of
'flop-
resentatives
at the
Last
session
of the
54th
Conr,ress. e
clean:
ly
demonstrated
that
the
1.(Jsue
of
cireulatim; notes is now
Triere.•
ly
a
natter of
businecs
concern
to
the
banks;
where
intefest
ratem are
high
they
can
use their
capital to
better
adirantaf7e
than
investing
it
in Unitf.xl 7tates
bonds
for
currency
issues.
:
7
Lt;ura1ly rind
7ron-xly
the
:
)0wer
to
provide
a
currency
for
thl
whole
country," :
-,eritionet .r.
Thlei
Jtico
Illase in
his
frinion in
1, 1
-
e 'Toazie
T'Ank
c;ase,
;.5
h
1.
:>3,
'ix
by
the b
,rlics
only to
17
ex
I
cint of
peori
table
Inve
fro7
1
•
onservv.ive
businer
point
of
view, ,
IV not ;u;)ublic
;u.t:".
It
I
onorally,
thought that safe
banking
requires
full
7/17/2019 056_081_06.pdf
http://slidepdf.com/reader/full/05608106pdf 10/84
b
o
nd
d
ec
u
ri
t
y
t
o
b
e
ra
e
dg
i
d
fo
r
t
i
u
lt
i
ma
t
e
r
t
io
n
oif
l
ba
n
k
n
o
t
e
O
n
1
.;;
(1 o
t
he
r
h
-,
ne
. s
u
ch
s
o
e„
r
it
y
is
,
i
n
t
he
o_
li
n
io
n
o
f
t1-
10
ri
or
t
so
u
nd
f
i
na
n
ci
e
r
s,
no
t
on
l
y
u
n
ne
c
os
Y
ar
y
t
o
w
el
l
c
on
-
(Iuct%1
bankin
but
)urden
on
th
banks ano their
custormws
xh
ic
:
h
t
o:
Id
s
t
o in
c
re.
.
se
ch
ar
i
;a
s f
o
r l
o
ws
'
1}:
..
se
C
r
a
wb
k
s
c
o
ul
d
b
e
.
1:
vo
1d
ed
i
n
a
s
y
sL
e
m.
U
nd
o
ub
t
ed
l
y in
t
e
s
a
d
op
t
in
g
a
so
u
nd
b
s
ta
n
thi
.)
d
e
s
ir
e
o
f
t
h
e pe
o
pl
e
wo
u
l6
b
e
t
o
h
;I
ve
t
h
e
ci
rc
.l
at
in
t
;
no
t
es
wa
s
r
o
od
a
s
g
ol
d
,
*
an
c
to
1
.1 1
re
,.,
on
r:
re
ss
r
e
ti
m
i
i
t
od
:
t
a
L
es
no
t
es
,
th
e
re
b
y
r
e
st
o
ri
n:
7
O
le
r
e
re
n
ue
s
oi
th
e
U
n
it
e
d
St
a
te
s
t
o
a
c
o
in
b
as
i
s
w
h
ic
h
, w
h
en
c
on
e
,
w
o
ul
ti
n
ec
e
st
r
il
:
r
1
?.
in
ta
in
t
h
e
;
:
31
1-:
.0
at
p
ar
w
it
h
t
he
r•
ol(
.1
.
c
o
ll
ar
,
.
if
'
t
h
e
f
:'
ta
te
s t
io
w
c
on
)
l L
flt
fl
o.- t
h
e
l
a
ck
of
c
u
r
re
n
cy
.i
:
Gr
ie
ra
ll
y
a
c
to
pt
e
d
a
S
t
a
te
a
nk
in
L)
;
s
ys
t
ri
.
:
Po
r
t
ht
,
ri
p, .
t
o
r,
I
do
n
o o
f:
w
h
y
e
v
er
y
S
ta
t
e
i
n
t
h
e
.n
.i
on
s
ho
u
lo
n
ot
p
re
f
er
it
to
th
e
ex
i
st
i
ng
b
an
k
s
o
f
ig
ifi
tl
e
s
n
or
Co
I
0e
wh
y
t
H
e
S
o
ut
h
er
n
a
nC
.
V
P.
en
te
rn
F
at
i
on
a
l ba
n
ks
s
h
ou
l
d
n
ot
)
ro
f
er
to
t
e
o
ut
c
h3
r
te
r
s
a
s
t
at
e
T
a
nk
s
C
1
:if
l co
rt
.
t
i
n
ue
•
at
i
cn
al
b•
ta
k.
l
a
w*
.
7
2o
we
v
er
th
e
re
i
s
n
o
i
nc
M
B.
it
y
e
vt
,,
m
y
s
tu
l
p
O
f
h
a
nk
in
,
le
I:
I
y
,d
,
o
b
j
o
ct
un
d
er
t
h
W
I
St
a
te
s
y
s
vs
i
l otes
is- woul•:
n.):
circulate outside of
the
to,
t
he
.
ro
p
li
J.f;
r
ou
l
cl
be
a
de
c
id
e
d
ad
va
n
ta
:,
e
t
o
)
1(
3
o
f
L:
r
E
t:
A.
Le
.
r
1
c'
r p
ro
g
re
c
si
v
e
b .i
n.k
in
t;
c
lu
tt
er
's
r
ot
e
s ar
e
in
t
en
d
ed
fo
r
l
oc
a
l b
t:
s
in
e
rs
o
nl
y
.
2
'.
W
-
Jo
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1
awY qr
0.. :
c
end
m
t.c
e a forcible
pr
3synti.tion of
this
feature
of
1-:
-
.3.nkin.
i
ifi t at
cy:.1.
h
'fore
to ;ornfli
t
ee on
7ank-
,
in a.fl4
lAtr:-enc:r to
rouse of
rtenr;::sentativos
on
••ecember
'19,
1693,
rrhon
ho
wan
rgin':
tLe repeal
of*
t.:1.1e
ton
pf...r
(•;nt
tax
as
panacea
for
our
firvAncia I i Is. 7
-0
said
the
decade
endinr:
in 1,
;';0,
thr:
hanks
in
thn
countie ,
th±ch ow
form
the
State
of
"irginia
n•irril) ,-
.:r•
,
9.
three
hitridreci.,
incluclin:
branches,
anc:
:laintaine(
CirelZ
U.'.1;i0 ":
0
ten
million
dollars,
alwa.
s
It
nar
in coin. o
orl s
id h
Or ;
;.1.a1
that
LITne on
7ir:inia
notes,
:trid they' did not
circulate
to
any
ex ton
out
i th
ate.
k
6
3:"
oro
i'1 diito1l,
returned
to
the
b:.in1cf.
at a
Srlfill
1
incount to
the
forei3n hold or,
equal
to
th ,
3 expense
of
turnu
fl
-
‘. x)cnne
not
;Tooter, perhaps,
tharl
that
of t;e'rlinr: ` ‘
it
flit.
1),
?.nk
notes
to
Tm'l-tin,Tton
for
ro;-
ion.
Compare
this
cirelation
of 1-
).?_rik
notes in •firi.
:inia
vrith
total
brznk
circulation
in :he
thirteen
Southern
States on
October
31 1(,9i),
as
flown. ):,?
the Comptroll.
, r' r000rt
for
y ear:
With
-;
t
of
.;74,000,000,
the o
rc
I•%t .on was only
1,,10
00o,000.
Accordin::
to
her
anto-b
ell‘n
exim.)rioncg,
orrin
of
i5nitod States notes were to
be
retired,
j
jflj
could'
easily
keep
out a
Stlike
bank
circulation
of •:.:1.:.,000,00 its
business,
Under
such
a systen
of
banking.
as
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11.
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7/17/2019 056_081_06.pdf
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•
Intt
rview
with
td.
t
1
•
-
• 4,
or
'il
l
:p
m
-1ve u.s
a brief
accou
.:t
of
your institution?
The
Lon
don
and
Amt:
-.1n
oter
T3ank-
aas est
ablish
ed in
7lar
ch,
1
834.
It was
r
egIste
red
as
a L
imitce
. comp
an;; in
71a
rch, 1 .13
0.
It or
i:Anat
ed in
L
r)ndon
, anc3
is st
ill
conf
ined
to
Lond
on a.ld
i
ts
m.ib
urbs.
•
..7ha
, is
the
par value
or your
sha
ms ai
C.
what
divide
nds do
you
. pay
?
A.
Th
e par
valu
e
o
f
o
ur
share
s
is
iv
100
of
which
iv 2
0 is
paid.
o
r
th
e
last
fo
ur years
d
ivide
nds of
L.
. r amu
m hav
e
b
oon
doclr
oe-
7he
n
ro-
so
nt
n
rudket
pr
ice
of t
he sh
ares is
betw
een
Ja
50
L and
iv
51.
Q.
T
Iow
s
',octh
olders ha
ve
yo
u?
A.
frpward
s of
10,80
0.
Q.
at
a
dditi
on: .1
paym
ents
can
bo
c
ollect
ed
f
rom
y
our atoc
kolde
rs
for
t
he
a
ryvnior
raent of
busn
esc
n
nJ
vilat in
case
of
liqu
idatio
n?
A.
0.
As
20
per
share
have
bo
on
paid
i
n th
e
s
hareho
lders
are
loft
a
l
iabil-
ity of
iv
80
pe
r sharo
7
hich c
an be
col
lected
f
or
t
he
dov
:
.1opusa
rt or.7
bus
iness
, or
fo
r licui
dation
.
D
oes the
law req
uire
you to
acc
umula
te
a
aerta
in anount
of
surpl
us?
A.
No.
• Is
thero
an
y
limit
t
o
the
numbe
r
of
s
vsres
whic
h may
be
h
eld by
a
ny
one
po
rstvi,
:d
is
your
appro
val ma-
aired b
efore
a
trans
fer of
yo
ur
stoc7.
cfn b
e
ma
de?
A.
7.hero
is no
limit
to
the
r.urf
or
of sh
ares whic
h ay
in
divid
ual ma
y
ho
ld
lylt
the
rov
al
o
f
di
rocto
r3
is
recyJi
red
b(
foro
tr
ansfer
s
can
be
-
ado
.
0.
l
ow
oft
en
do your
sha
rehol
ders me
et?
A.
7.7w
ic(
a year.
•
bees
ov
ry
share
have
a
vote
at
the
shareholders
meotins?
A.
o.
Votes
are
d1s
trib
.
1.tod
as
follo
ws:
.. r
om 1C to
49
s.ia
red,
1
vote;
frorl 51
0
to
9
9
share
s, 2
votes
; from
100
to
199 oh
ares,
throo
vote
s;
from
2
00 shar
es
upw
ard
fou
r v
otes.
0.
Des
cribe thc)
o
r,7nni
za
ion
and
rune
m Il
t
of
the
ba,a, sta
tinr7 th
e
of
f o
a
nd dire
ctors
, and
t'te
ir
:-e
opecti
ve
fu
nctio
ns, and fo
r
wh
at
pur
ioan
or
time a
nd b
y
who
m are
tte7
ole
cted?
A.
Ther
e
ar
o
682
off
icers an
d
15
di
rector
s,
Wh
o
ar
e
eloc
tod
by
share
holde
rs.
Thre
e
of tho
le
direc
tors
ret re
an
nuv
7
1
y.
Q,s
Is it
ca
storra
7 to
re-o
loc
di
roctor
s at
the
e:T
iratio
:1
o
f the
ir
tor
us?
7/17/2019 056_081_06.pdf
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Q.
i
n tvr.
ma
in, hr)
the
7 b
oro
atoj
b io
n,
o
r 7:1:7-4
-, t y
boe
,.
fo
rmeci
by
the
absorption
or
independent
ban
A
. They hav
e
rrin
ly
c
rent
ni
b7 11 n
•
.
/
a
re
year
br
anch
es Ina
:
4
30c
A.
71y
an a
,
po
inted
w
ho
is
vls
itea p
eriod
ical
ly b
y
th
e mrn
erint
enJen
tmd.
I
nsifl
octors
of
bra:
Ichos
,
o
ccasi
onal
ly
;:j dire
ctor
s.
oi
nts
t
he
ln
r
of bran
ches,
a
nd,
are
toy
u
rnual
y seloc
T,od
fr
om
si
ibora
inato
of
ficer
s
in
the sa
le
b
a.ilf?
A
. 2h0
dir
ector
s
al-
)oint
the
mana
ors r
anch
es,
v
fx) a
re
se
lect
ed
f
ro71
amon,c lbordi nate
o'ficrs,
but
not
necessarily
in
tile
sno
bvmch.
•• 7
.tow
fre
craen
tly a
ro
yo 1.
mcr
qred
by
la:
v to
71 31
i:il1 1
1.
3atan
onts
of
cond
itio
n?
A
.
?v
ice a
ye
ar.
••
Tiow
fro
qnet
1i
is
it
y?
.lir c
,Aqton
to
7:1b
lirth
th
em?
A.17
onth
ly.
C.
In
yollr
cr
)inio
n, sho
uld m
ore
rocq
ont
ancl
full
er
b
ank
ret
urns
be
m
blin
hod?
A.
77e do
not
co
nsiJ
er
thi
no
celsa
ry.
Q.
,Ha
t 10 7a1
or
n
e.ral
tax
es a
re
)aid
by
t
he
ban
k?
•
?he
n
sual
par
ochi
al
an
d. n
r
al
tax
es.
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MINUT S
7.
6Lii
7/17/2019 056_081_06.pdf
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Ct
Waehinzton,
D.
C
Saturday, December
2,1
The
Commission met at
11
o clock, a.
m.,
purruan
to
the
call
of the
Chairman.
Pre9ent:
Messrs. ATYTICH (CEAIREAN),
BURROWS,
BU
TON,
WIFFKS
BONYNGE,
PADGETT, and
BURGESS.
In
the absence of the Vice
-Chairman,
and as
a
quorum did not
appear, no formal
busines was trans-
acted.
The Chairman
was
authorized, however,
to
appoint
a sub-committee
to
consider
the
details
of
the
Codifi
cation
of the National
Banking
Laws, with
Suggested
Changes,
prepared by
the
(lomptroller of
the
Currency,
and to
report the result of their
examination to
the
Commission.
The Chairman
appointed
on this
sub
-committee Mr.
BURTON (CHAIRMAN), Mr. WEEKS, and Mr. BURGESS.
At
12 o clock
meridian, the
Commission
adjourned
until
1
o clock a. m., Monday, December 4,
1911.•
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W
as
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t 1
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.
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t:
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sion should constitute
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m
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s
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ro
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o
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Di
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l
l
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o
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ty
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h
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a
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r
7/17/2019 056_081_06.pdf
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o
o
k
a
r
e
c
es
s
u
n
t
i
l
2
:
3
0
o
c
l
o
c
k
p
.
m
.
7/17/2019 056_081_06.pdf
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3
AFT
ER
P
ECE
r Ss
The
Com
missi
on
re
a3oem
11ed
at
2:3
0
p
. m.
Prese
nt:
Mes
srs. LDRIC
IT
CHATH
7I.AN)
,
VREE
LAND
VIC
E-
CJA
B
UPRO
WS,
MO
NEY,
P}
USE,
BIMT
ON,
W
ITS
BONYN
GE,
PA
DGETT
, U
J.nd
P
RINCE
.
A
t t
he sug
westi
on of
Mr.
Bony
nge
it
was
un
animo
usly
agree
d_
that
t
he
Revi
sed
Ed
ition
of
th
e Su
gges
ted
P1 n
for
Mon
etar
y
Legis
1L.ti
on
be
made
the
ba
sis
o
f
dis
cussi
on.
T
he
C
hairm
an st
ated tha
t
it
was
his
idea
-- if i
t
s
hould
m
eet
with
th
e
an
riron
al of
th
e
membe
rs
o
f
the
Com
-
miss
ion --
th
at
with
res
pect to pro
visio
ns i
n +le
pla
n
whe
re
the
re
was
no
speci
al
obje
ction
,
imme
diate
ste
ps
be
ta
ken t
o
Pl
ace
th
ose
p
rovis
ions in
the h
ands
of
t
wo
e
x-
pe
rts, o
ne
A from
tl
_e off
ice
of th
e
Com
ptro
ller
o
f
the
T
reas
ury Department
and one
from
the
Department
of
Justice,
in ord
er t
hat the
la
ngua
ge of
t
he pr
opos
ed
mo
netar.
,
law
mi
ght be
p
r
oper y
fram
ed.
T
he
Chai
rman
fur
ther sta
ted
that
at
the
morn
ing
se
s-
s
ion
it
h
ad
also
I
p en
dec
ided tha
t i
n
t
he
abs
ence
of
a
q
uorum
,
all
dec
ision
s reach
ed
woul
d
be
tenta
tive
, a
nd
that
a
.1:7
part
ic
ar
prov
ision
might
b
e
r
econs
idere
d
o
n
th
e
r
e-
qu
est
of
an
y
m
embe
r
of the
Co/m
issio
n.
Upon
mot
ion of Mr
. W
eeks
it
w
as
a
g,ree
d
tha
t
t
he
mi
nutes
of th
e m
eetin
cs o
f the
C
ommi
ssen
b
e m
ade
full
and
com
plet
e
som
ethir
Jr
si
milar
to
the
way t
he
rec
ord
is
k
ept
in the
To
urnal
s
of
t
he Senp.
te and
t
in
Hous
e
of
R
epres
ent•t
tives
.
7/17/2019 056_081_06.pdf
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The
Co
mmi
ssi
on
t
he
reu
pon
pro
ce
ede
d
to
fur
th
er
exa
mi
ne
and discuss
the
pr
op
ose
d
pl
an
an
d
the
fol
low
in
g
s
ub
jec
ts
w
er
e
c
ons
ide
re
d:
W
it
h
r
es
pec
t to t
he
amo
unt
of a
uth
or
ize
d
ca
pit
al o
f
th
e
Nat
io
nal
R
ese
rv
e
A
sso
cia
ti
on
whi
ch
wou
ld
b
e
p
ai
d i
n
und
er
th
e t
we
nty
per
ce
nt pro
vi
sio
n..
Di
vi
den
ds
to
b
e pa
id
onl
y o
n
pa
id
-i
n
ca
pi
tal
.
Y
r.
A
ldr
ic
h st
ate
d
the
ne
ces
it
y fo
r a
pr
ovi
sio
n
tha
t
d
iv
ide
nds
sh
ll
on
ly
b
e
pa
id
by
th
e
Na
ti
ona
l
R
ese
rv
e
A
sso
cia
ti
on up
on
c
api
tal
wh
ich
ha
s be
en
p
ai
d
in
.
L
eng
th
of
Ch
ar
ter
.
A
Pro
po
sit
ion
by
M
r.
Bo
ny
nge
t
hat
the
t
ime
of
t
he
l
eng
t4
of
t
he
ch
art
er
be
mad
e
les
s tha
n
fif
ty
y
ear
s
w
as
n
ot
ac
ce
pte
d.
Th
ere
w
as
c
on
sid
era
bl
e
di
scu
ss
ion
t
o
whe
th
er
an
y
p
rov
isi
on
sho
„a
d b
e m
ade
whe
re
by t
he
cha
rt
er
1
al
te
red
,
am
en
ded
, or
re
pe
ale
d
by
C
ons.
res
s,
bu
t
n
o
co
nc
lus
ion
w
as
re
ac
hed
upo
n
th
is
p
oin
t.
M
in
imu
m Ca
pit
al
:
Th
e
s
ubj
ect
o
f
min
imu
m
c
api
tal
wa
s
ne
xt
co
n-
s
ide
red
,
an
d whi
le
n
o de
fin
ite
c
onc
lu
sio
n
wa
s re
ac
hed
,
the
opi
ni
on w
as
g
en
era
l
th
at
s
ome
a
mou
nt
--
p
ro
bab
ly 1
00
,
0
00
,00
0
--
sh
oul
d be
pro
vi
ded
a
s
the
mi
nim
um
w
ith
whi
ch
t
he N
A.t
ion
al
Res
er
ve A
sso
ci
ati
on
mig
ht com
men
ce
its
o
pe
rat
ion
s.
7/17/2019 056_081_06.pdf
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Contin:ent
Fund
for
Imoaired
Irolus:
Sub36r:t
11 y
discussed.
No def1 ,
11e
conclu-
sion reached. Suggestions made that
in no
event
should
fund
be
used
for
liquidation or
otherwise
to
stockholders,
but
shoull go
to
the
United
States
Govelent;
that
fund
should
not be
a
part
of
the book -
.Tulle of
the
stock;
that
the
fund
should
.lot
be
more
than
f Alomeif-L4
percent
nor
less than fig.
414t per
cent; that
the
percentage
sou
d
be
less than :In the
case
of
ordinary
bank
losses.
Upon motion
of
Mr.
Padgett it
was
agreed
tnat
a
pro-
vision
shoull be
placed in the
draft
of the
bill coverin
the
subject
of
a
contingent
fund in
the following
langllage:
When the
surplus
reaches
twenty
(20) per
cent, a
fund
not
exceeding
$2
1
000,000, or the
eqaivalent of
one 1) per
cent
of
the capital
muy be
retained
by
tl-e bunk
is
linlivided
pro-
fits
to
mec t unexpected
losses;
and, upon
the
final
dl-solltion
of
the
bank:,E.
.-a7 ;o
to
the
Government,
and
shall not be included
in the book
value
of
the
stock,
or
go to
stockholders
in
any
contingency.
Holding
Majority
Stock
of Banks
which
are
members
of
the
National Reserve Asnoeiation:
Subject
fully
discussed
on the basis
of
a
pro-
position made by
Professor
Wildman of
the
Northwestern
Unive-sity.
Dfcisicn
reached
to
naE3s
matter until
Com-
miosion
should
1,
a-
re an
oppo
,-tunity to
examine
Professor
Wildman's
proposition.
7/17/2019 056_081_06.pdf
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B
o
n
ds
:
M
r.
P
a
d
ge
t
t
(
a
f
te
r
re
a
d
i
ng
s
e
ct
i
o
n
75
of
t
h
e
Re
v
i
s
ed
Pl
a
n
i
n
q
ui
r
e
d
wh
e
t
h
er
i
t
w
a
s
co
n
t
e
mp
l
a
te
d
t
o
p
u
t
a
n
e
xc
i
s
e
t
a
x
o
n
th
e
b
o
nd
s
p
r
o
v
id
e
d
f
o
r
in
t
ha
t
s
e
c
t
io
n
t
h
e
y
a
re
t
o
b
e
pe
r
p
e
tu
a
l
.
M
r
.
A
l
dr
i
c
h
i
n
fo
r
m
ed
h
im
t
h
a
t
i
t
a
pp
l
i
e
s
tv
b
o
n(
w
h
er
i
e
v
er
t
h
ey
a
re
a
n
d
t
h
e
Re
s
e
r
ve
A
s
so
c
i
a
ti
o
n
is
t
o
p
a
y
t
h
at
a
l
l
t
he
t
i
m
e
i
n
d
ep
e
n
d
en
t
l
y
o
f
t
h
e
o
w
ne
r
s
hi
p
o
f
t
he
b
on
d
s
.
IL
I
P
ro
x
im
a
t
e
C
ap
i
t
a
l:
M
r.
We
e
k
s s
u
gg
e
s
t
ed
w
he
t
h
e
r
4
4
Q
44
e
t
t
he
c
a
p
it
a
l
sh
o
u
ld
no
t
be
s
t
at
e
d
4
0
0
,
00
0
,
0
00
i
ns
t
e
a
do
f
S
3
0
0,
0
0
0
,0
0
0
a
n
d
w
a
s
in
f
o
r
me
d
by
th
e
C
h
a
i
rm
a
n
t
h
a
t
t
h
e
R
e
v
i
se
d
P
l
a
n
w
as
o
n
l
y
a
f
ra
m
e
-
w
or
k
or
me
m
o
r
an
d
u
m
a
n
d
th
a
t
w
he
n
t
he
l
a
w
wa
s
d
ra
f
t
e
d a
ch
a
n
ge
i
n
t
he
am
o
u
n
t,
i
n
h
i
s o
p
in
i
o
n
,
sh
o
u
l
d
be
made;
t
h
at
t
h
er
e
i
s
a
m
i
n
i
mu
m
li
m
i
t
at
i
o
n
b
u
t
n
c
m
ax
i
m
u
m.
C
a
p
it
a
l
o
f
Su
b
s
cr
i
b
i
ng
B
a
n
k
s:
T
h
e
C
h
a
ir
m
a
n
s
t
a
t
ed
t
h
a
t o
n
a
c
c
ou
n
t
o
f
c
r
i
ti
c
i
s
m
h
e
h
a
d
h
e
a
r
d
t
ha
t
p
o
s
s
ib
l
y
t
h
e
p
r
o
v
is
i
o
n
f
o
r a
mi
n
i
m
um
c
a
p
it
a
l
o
f
2
5
,
00
0
m
i
g
h
t
b
e
t
o
o
h
i
g
h
.
M
r
.
V
r
ee
l
a
n
d
s
t
t
ed
th
a
t
he
ha
d
h
e
a
rd
n
o
o
bj
e
c
t
io
n
t
o
i
t.
T
r
u
st
Co
m
p
a
ni
e
s
:
T
h
e
C
ha
i
-
ma
n
a
s
o
f
t
h
e o
p
i
ni
o
n
th
a
t
in
v
i
ew
o
f
s
u
g
-
g
es
t
i
o
ns
f
r
o
m
th
e
T
r
us
t
Se
c
t
i
on
o
f
t
h
e A
me
-
i
c
an
B
a
n
k
er
s
A
s
s
o
ci
a
t
io
n
,
t
he
m
i
n
i
mu
m
o
f
25
,
0
0
0
s
h
o
u
ld
be
a
p
li
e
d
al
s
o
to
t
ru
s
t
co
m
p
a
ni
e
s
.
M
r.
B
ur
t
o
n
s
t
a
te
d
t
h
a
t
he
d
e
si
r
e
d
to
7/17/2019 056_081_06.pdf
http://slidepdf.com/reader/full/05608106pdf 24/84
7
cons
ide
r
the
qu
est
ion
of
th
e
li
mit
ati
on
of
t
he
ca
pit
al
o
f
tr
ust
c
omp
anie
s
mo
re fu
lly
,
b
ut
he th
oug
ht
th
at
t
her
e
should
be
a
minimum.
M
r.
Pad
get
t
sta
ted
tha
t th
ere
was
n
o
li
mit
atio
n
i
n th
e
la
ws
o
f
Ten
nes
see
a
s to
th
e
c
api
tal
tr
ust
com
pan
ies
shou
ld
ha
ve.
Pay
men
t of
B
alan
ce
of 20
pe-
c
ent
Su
bsc
rip
tio
n.
Mr
.
Vr
eela
nd
i
nqu
ired
as
to
t
he
time
o
f
t
le pa
yme
nt
of the balance of
tne
20
per cent subscription provided fcr
in
se
cti
on
1.
The
Ch
aiy
man
s
tat
ed
th
at
h
is
und
ers
tan
ding
wa
s
t
hat
n
o
de
mand
w
oul
d be
m „
de f
or
t
he
b
alan
ce
of the
s
ubsc
rip
tio
n,
u
nle
ss
th
ere
wer
e
la
rge
los
ses
as
ag
ain
st
cr
edi
t
or
i
mpa
irm
ent
of the
c
api
tal
of
t
he
l
ese
ve
A
s-
so
cit
ion
.
M
r.
V
ree
land
tho
ugh
t
tha
t th
e su
bsc
rib
ing
ban
ks
w
ere
b
ein
g
mad
e
lia
ble
for
mo
re
th
an
tw
ice
t
he
a
mou
nt
of
th
eir
s
toc
k
by
t
his
pro
visi
on.
Th
e
C
hai
rma
n
s
tat
ed
tha
t
as
he
und
e-s
too
d
it
bank
s
c
oul
d no
t c
all
f
or
the
ad
dit
ion
al
10
pe
r
c
ent
su
bsc
ript
ion
f
or the
p
urp
ose
of
in
cr:
u
sin
g
c
api
tal
.
T
he
dis
cus
sio
n of
th
e
in
ves
tme
nt by
ban
ks
of
thei
r
cap
ital
i
n
rea
l
est
ate
w
as
Pa
rti
cipa
ted
i
n b
y
Me
ssr
s.
A
ldr
ich
Bu
rto
n, N
T
e
ks,
a
nd
P
adg
ett
,
t
hec
onc
lusi
on
bei
ng
r
eac
hed
t
hat
l
arg
e
in
ves
tme
nts
o
f this
kin
d
on
the
p
art
o
f
b
ank
s
sho
uld
no
t b
e
m
ade
.
Tra
nsf
er
o
f
Shar
es of
th
e N
ati
ona
l
es
erv
e
A
soc
iat
ion
s
tock
.
Mr
. B
urt
on in co
mme
nti
ng
o
n
se
cti
on
3
,
rel
lti
ve
to
th
e
7/17/2019 056_081_06.pdf
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tr
ansfe
rrin
g of t
he
s
li res
of the
cap
ital
s
tock
ef tI ;e
N
tin
nal Reser
ve
As
so-i
it
ion, stat
ed that
no
law
would
b
e cons
titut
ional
whic
h
prov
ided tha
t
the
y could n
ot
be
tran
sfer
red und
er
arti
culix
c
ondit
ions
.
Mr
. Pa
dgett
c
alled
atten
tion
to
the f
act
that t
he
p
rovis
ions
of
the
Revi
sed
Pla
n
ne
rely
pre
scrib
es the
m
ode of
tr
ansfe
r. M
r.
Bo
nynge
agre
ed wit
h Mr.
B
urton
as to
the
unco
nstit
i2tio
nalit
y
of
atte
mptin
g
t
o
pr
ovide
t
hat
no
trans
fer c
ould
b
e
ma
de.
Pa
id
up Ca
pital
Sto
ck.
M
r.
Padge
tt mad
e the
f
ollo
wing
sug
gest
ion
for the
ame
nmen
t of
se
ction
4,
which
was ag
reed to:
That
th
e
wo
rds
pa
id up
s
hould
be
ins
erted
bef
ore
the
wo
rd cap
ital
wher
ever
it
appe
ars wi
th re
feren
ce to
th
e
pa
yment
of
div
i-
dends
.
F
or
ins
tance
, w
he-e
i
t
is
st
ated th
at
they
sha
ll
rece
ive
4
per
cent
divid
ends
th
e tex
t
sh
ould
read
4
per
c
ent di
vide
nds on p
aid
-up
ca
pital
s
tock;
a
nd
t
the poi
nt
w
here
the
wor
ds
af
ter
st
ockho
lders
recei
ve 5
per
cent
,
shoul
d be
i
nsert
ed th
e ward
s
paid
-up
capit
al
s
o
ck.
Th
e
p
urpos
e o
f thi
s
amn
dmen
t
is
that
th
ere ma
y be
no
qmQs
ticr
o
f
cons
truc
tion
as to
whet
her
divid
ends
are t
o
be
rece
ived
on
the
subsc
ribed
stock
or
th
e
paid
-up
sto
ck.
Divid
ends
of
S
tockh
older
s
sha
ll be
cumu
lati
e:
ect
ion
4
Mr.
Bur
ton inqu
ired
a
s
to
the
mean
ing
of t
his
pr
o-
vis
ion a
nd
Mr.
P
adge
tt w
as of t
he opi
nion
tha
t
tie
m
atter
shoul
be
ex
pres
sed
mor
e def
inite
ly. The
C
hairm
an
s
tated
th
at
his
un
derst
andi
ng wus
th
Lt
t
he
purp
ose of
th
e
rro
-
vis
ion i
s
t
o
gua
rante
e
t
o
su
bscri
bing
ban
ks
4
per
c
ent on
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thei
r
i
nves
tmen
t ou
t
of
th
ea
rnin
gs
o
f any
g
iven
yea
r;
af
ter th
e
20
rer
c
ent
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lc?
SUGG7T,TIONS.
By Mr. Burton: That,
in
his opinion, it is not best
to
place
the surplus
of
the National Reserve Association
beyond 20 per cent.
By
Mr.
Aldrich:
That
some
provision
should be made
for
the
restoration of the
surplus when
impaired.
Mr.
Ir. Burgess:
That it
would
be well
in the
final
draft
of
the bill to provide
a
definite limitation to
the
earnings of the National
Reserve Association.
By
Mr.
Bonynge:
That some
provision
ought
possibly to
be
made
compelling
state
banks
to furnish a
list
of the
owners
of
their stock, in
order
that
members of
the
Reserve
Association may
be
protected.
By
Mr.
Al:lrich: That
a
provision
should be
made
pro-
hibiting that loaning
on
NLtional
R2se-ve
ssction
stock.
By
Mr.
Al
rich: A provision should
be
incorporated
in
the final draft
of the bill that
no bark shall
be
,d-
mitted to membership
in the
National Reserve Association
that
owns
stock
in
any other
bank, nor
shall
it
hold
stock
in any
othr r
bank
after
it
becometa
member of
the
Reserve
Association.
By
Mr.
Aldrich:
Provision
should be
made whereby
state
banks
shall
have
not less than
S25,000
capital
artually
paid
-in.
By
Mr.
Aldrich: Provision for
temporary
organization
of
the
National
ese
ve
Association should
be
made
by
a
Commission,
consisting, possibly, of
the
Secrc
--
Lry of the
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Tre
asur
y,
tYe S
ecre
tar
y ofo
mme
r e
a
n 1
Lab
or,
and
t
he
Co
mptr
olle
r
of
the
C
ur-e
ncy.
This
Co r
niss
ion t
o d
ecid
e un
til
a p
erma
nent
or
6ani
-
zati
on is
ef
fect
ed, th
e
q
uest
ion o
r
th
e
lim
itat
ion of
the
t
erri
tory
o
f
the
di
stri
ct
and
loc
al
ass
oci:
Aion
s.
T
he
Com
mis
sion
th
ereu
pon a
djou
rned
at
5
o
clo
ck p.
in
.,
unt
il
10
30
o
cl
ock,
A
. 1.
Tue
sday
, Dec
embe
r
5,
1
911
.
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L
W
a
sh
i
n
g
t
on
,
T
.
C
.
T
u
e
sd
a
y
,
D
e
ce
m
b
e
r
T
he
C
o
m
mi
s
s
io
n
m
e
t
at
1
0
:
3
0
o'
c
l
o
ck
,
a.
m
.
P
r
e
se
n
t
:
M
e
s
sr
s
.
L
I
C
H
C
H
A
I
MA
N
)
,
V
RF
E
L
A
ND
(
V
I
C
E-
C
H
AI
R
M
A
N)
,
B
U
T
O
C
S
,
M
O
N
7
Y,
B
n
T
O
N
,
W
E
E
KS
,
B
O
N
Y
N
GE
,
P
A
DG
E
T
T
,
B
U
RG
E
7
S
a
n
d
P
R
I
NC
E
.
I
t
w
as
d
e
ci
d
e
d
t
ha
t
t
he
r
e
s
h
o
u
ld
b
e
no
c
h
an
:
7e
m
a
d
e
in
t
he
p
r
ov
i
s
i
on
s
o
f
th
e
R
e
vi
s
e
d
P
l
a
n
t
ha
t
th
e
c
o
mb
i
n
e
d
capital
and
surplus
of
the
members
of
each local a
s
s
oc
i
a
-
t
io
n
s
ha
l
l
a
g
g
re
g
a
t
e
n
o
t
l
e
s
s
th
a
n
$
5
,
0
00
,
0
0
0.
M
r
.
A
ld
r
i
c
h
s
u
g
g
es
t
e
d
th
a
t
a
p
r
el
i
m
i
na
r
y
ap
r
o
r
ti
o
n
m
en
t
o
f
th
e
as
s
o
c
ia
t
i
o
ns
p
r
ov
i
d
ed
f
o
r
in
se
c
t
io
n
5
s
h
o
ul
d
o
e
m
a
d
e
by
d
i
re
c
t
o
rs
o
f
t
he
Re
s
e
r
ve
A
s
s
o
ci
a
t
i
on
a
f
te
r
a
p
er
m
e
n
en
t
or
g
a
n
iz
a
t
io
n
wa
s
e
ff
e
c
t
ed
.
M
r
.
B
u
rt
o
n
w
a
s
o
f
t
he
o
p
in
i
o
n
,
in
w
h
i
ch
a
l
l
p
r
e
se
n
t
c
o
n
c
ur
r
e
d
,
t
h
a
t
i
pr
o
v
i
si
o
n
o
f
s
e
ct
i
o
n
7
e
x
em
p
t
i
ng
t
h
e
Na
t
i
o
na
l
R
e
se
r
v
e
As
s
o
c
ia
t
i
o
n
f
r
c
m
s
t
a
t
e
a
nd
l
o
c
al
t
a
x
at
i
o
n
s
ho
u
l
d
n
o
t
b
e
c
ha
n
g
e
d.
Mr
.
A
lr
l
ri
c
h
su
g
g
e
st
e
d
t
h
a
t
p
r
o
vi
s
i
o
n
be
m
a
de
t
ha
t
no
r
ea
l
es
t
a
t
e
s
h
ou
l
l
b
e
h
e
l
d
b
y
t
h
e
Re
s
e
r
ve
As
s
o
ci
a
t
i
on
,
e
x
c
e
pt
f
o
r
b
a
nk
i
n
g
p
u
r
p
os
e
s
.
M
r
.
A
l
'r
i
c
h
al
s
o
su
g
g
e
st
e
d
th
:,
t
th
e
a
m
o
un
t
o
f
r
e
a
l
e
s
ta
t
e
h
e
l
d
b
y
th
e
as
s
o
c
ia
t
i
o
n
s
h
o
u
ld
b
e
l
im
i
t
e
d.
M
r
. P
ad
g
e
t
t su
g
g
e
st
e
d
t
h
a
t
th
e
la
n
g
u
ag
e
b
e
g
l
Ia
l
i
fi
e
d
b
y
i
n
se
r
t
i
ng
t
h
e
wo
r
d
s
f
or
b
a
nk
i
n
g
pu
r
p
o
se
s
.
M
r
.
W
e
e
k
s s
t
at
e
d
t
h
a
t
t
h
e
N
a
ti
o
n
a
l
B
a
n
ki
n
g
L
a
w
m
a
de
L
m
p
le
Tr
o
v
i
si
o
n
a
s
t
o
r
ea
l
es
t
a
t
e
h
o
ld
i
n
g
s
b
y Na
t
i
o
na
l
7/17/2019 056_081_06.pdf
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/ s
bu
nks
and
su
gges
ted
t
hat a
pro
visi
on
alon
g
simi
lar
li
nes
be
dra
wn
to
app
ly
to t
he
N
ati
onal
P e
serv
e
A
ssoc
iati
on.
This was unanimously agreed to.
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24
.
M
r.
P
ad
ge
tt
sug
ge
st
ed
th
at
it
sh
ou
ld
b
e p
ro
vi
ded
tha
t
th
e di
re
ct
or
s
sh
ou
ld
s
ub
mi
t
t
o
th
e
P
re
si
de
nt
a
fa
ir
n
um
be
r
o
f
n
ame
s fr
om
wh
ic
h
t
o
se
le
ct
th
e
g
ove
rn
or
c
f
t
he
R
es
er
ve
As
soc
ia
ti
on
.
A
ft
er
s
ome
d
is
cu
ss
io
n of
t
hi
s
p
ron
os
it
io
n,
it
w
as
ag
re
ed
to
ad
d
af
tel
t
he
wo
rd li
st
in li
ne
fi
ve
th
e
wo
rd
s
no
t
l
es
s
th
an
thr
ee
in
nu
mb
er
.
As
t
hu
s
am
en
de
d,
t
he
pa
rag
ra
ph
w
as
ag
rPe
d
t
o.
8
In
c
onn
ec
ti
on
wi
th
t
he
e
le
ct
io
n of
th
re
e-
fi
ftn
e
of th
e
B
oa
rd
of
T
)i
rec
to
rs
o
f
th
e l
oc
al
as
soc
i,
ti
on
s,
S
en
at
or
BA
-
to
n
ra
ise
d
th
e
tu
es
tio
n
wh
et
he
r th
e
vo
te
sho
l
l
be
c
um
ul
at
iv
e
o
r
en
bl
oc
.
Th
er
e
W
as
s
om
e d
isc
us
si
on
o
n th
is
po
in
t,
but
the
la
ng
ua
ge
in
th
e
p
ar
ag
ra
ph
wa
s
n
ot
c
ha
ng
ed
.
7/17/2019 056_081_06.pdf
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F
T
E
R
R
E
E
S
S
T
he
Co
mm
i
ss
i
on
r
ea
ss
e
mb
l
ed
a
t
2
:
30
p
.
m.
P
re
s
en
t
:
M
e
ss
rs
.
AL
DR
I
CH
C
HA
IR
ILAJf),
V
RT
I
PL
ND
VICE-
C
H
AT
:,
M
AN
),
B
UR
R
OW
S
, MO
N
EY
,
B
UR
T
ON
,
W
E
EK
S,
BO
NY
N
GF
,
an
d
P
A
DG
E
TT
.
9,
1
0
,
an
d
1
1.
I
t
w
as
ag
r
ee
d
t
o
p
ro
vi
d
e
th
a
t
t
he
n
u
mb
er
of
d
ir
e
ct
o
rs
o
f
br
a
nc
h
es
s
h
ou
ld
be
f
ix
e
d
b
y
th
e
b
y
-l
a
ws
of
e
ac
h
b
r
an
c
h,
b
ut
t
h
at
t
he
r
e
sh
o
ul
d
n
o
t
be
less
than twelve. One-half
o
f
th
is
b
oa
r
d
s
ha
ll
b
e
e
le
c
te
d
b
y
t
h
e
b
oa
r
ds
o
f t
he
l
oc
a
l
as
:3
o
ci
ti
o
ns
a
ri
d
t
he
o
th
e
r
ha
l
f
p
a
rt
by
t
he
s
to
ck
an
d
p
a
rt
by
r
e
pr
es
en
t
;,
ti
v
e
vo
t
e.
21
an
d
22
.
Ag
re
e
d
t
o
w
i
th
ou
t
c
h
an
ge
.
2
3.
Wa
s
am
e
nd
ed
a
s
fo
l
lo
ws
,
a
nd
a
s
a
me
n
de
d,
w
a
s
a
g
re
el
t
o.
T
he
r
e
sh
a
ll
b
e
an
a
u
di
t
n
co
mm
i
tt
e
e
t
o
b
e
el
e
ct
e
d
b
y
th
e
R
oa
rd
o
f D
i
re
ct
o
rs
f
ro
m
am
o
ng
i
ts
n
u
mb
er
e
xc
l
ud
in
g
t
h
e
me
m
be
r
s
of
t
he
E
xe
c
ut
i
ve
C
o
mm
i
tt
e
e)
o
f
w
h
ic
h
t
he
S
e
cr
e
ta
ry
o
f
t
he
Tr
e
as
u
ry
s
h
al
l b
e
c
h
ai
r
ma
n.
Th
i
s
C
om
m
it
te
e
wi
ll
ma
k
e
a
p
u
bl
ic
re
p
or
t
a
t l
e
as
t
on
ce
a
y
ear. It shall
h
av
e
a
ut
h
or
i
ty
,
n
ot
o
n
ly
t
o
a
ud
it
t
he
b
oo
ks
o
f
t
he
N
at
io
n
al
Re
se
r
ve
A
ss
o
ci
;,
t
io
n,
b
u
t o
f
th
e
br
a
nc
h
es
.
1
4.
Mr
.
1
X
f
ug
ge
s
te
d
t
ha
t
th
e
Se
c
re
ta
r
y
o
f
A
6r
i
cu
lt
u
re
7/17/2019 056_081_06.pdf
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be
a
dde
d t
o t
he
ex off
ici
o
mem
ber
s
of
t
he
boa
rd.
No
ac
tio
n
wa
s
ta
ken
on
thi
s
su
gg
est
ion
.
24
.
Mr.
Bo
nyn
ge s
ugg
est
ed
t
hat
it
b
e p
rov
ide
d
tha
t
the
ter
m of
t
he
Gov
er
nor
sha
ll
be
ten
ye
ars
an
d
t
hat
he
be
r
ee
lig
ibl
e
f
or
a
ppo
in
tme
nt
for
ano
the
r
t
erm
.
He
al
so th
ou
ght
tha
t t
s
hou
ld
be
pr
ovi
de
d th
at
t
he
De
put
y
Gov
ern
ors
s
hou
ld
b
e r
eel
ig
ibl
e
fo
r ap
poi
ntm
ent
fo
r
an
ot
her
ter
m.
Th
es
e
s
ugg
es
tio
ns w
er
e ag
re
ed
to
.
25.
M
r.
Bo
nyn
ge
s
ug
ges
ted
tha
t
the
ma
nag
er
of
th
e
b
ran
ch
s
hou
ld b
e
a
r
esi
den
t of
t
he
di
st
ric
t
i
n
whi-
11 the
b
ra
nch
i
s
loc
ate
d.
Th
is
was
agr
eed
to,
an
d thi
s
p
ara
gra
ph
w
as
am
end
ed
by ins
ert
in
g
i
n th
e se
co
nd
li
ne
aft
er
the
wo
rd
ap
poi
nt
ed
t
he
w
ord
s f
ro
m th
e
d
ist
ric
t.
26
.
M
r.
Pa
dge
tt
su
gge
ste
d
th
at
af
ter
the
w
ord
du
tie
s
in
t
he
fir
st
l
ine
th
e
fo
llo
wi
ng
wo
rds
b
e ins
er
ted
the
len
gth
of
ser
vic
e
t
o
be su
bje
ct to
rem
ov
al.
Th
is
ame
nd
men
t
was
Eg
ree
d
to
.
2
8.
Ref
er
rin
g to
the
th
ird
p
ara
gr
aph
o
f
se
cti
on
28,
Sen
ato
r
Al
dri
ch
s
ugg
est
ed
t
hat
the
FAc
re
tar
y o
f th
e
Tre
as
ury
,
th
e
Sec
ret
ary
o
f
C
omm
erc
e
an
d
La
bor
,
an
d th
e
Com
ptr
ol
ler
of
th
e
Ai
rre
ncy
be
au
th
ori
zed
to
p
ro
vid
e
th
e
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preliminary organization
of the
National
Reserve
AsE;ocir tion
and
to
divide the
country into
fifteen
districts.
Mr.
Padgett
surxested
that it
should be provided
that
the
country
shall
be
divided
acco-ding to
geographical
and
commercial
conditions and
also with regard
to
existing
banking
facilities.
These
suggestions
were
agreed
to.
29,
30, 31,
32,
33,
and
34.
Agreed
to
without
change.
The
Commission
thereupon_wt
adjourned
until 10:3C
o clock, a.
m.,
Wednes4,
December
6,
1911.
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W
as
hi
ngt
on
,
D.
C.
,
W
ed
nes
da
y,
Dec
em
be
r 6
,
191
1.
Th
e
C
omm
is
sio
n m
et
at
10:
30
a.
m.
Pre
se
nt
:
M
es
sr
s.
AL
DRI
CH
(
CH
AV
MA
N)
, BU
RR
OWS
,
MO
NEY
,
BUR
TO
N,
BO
NY
NG
E,
PA
DG
ETT
,
BUR
GE
SS
,
an
d
PR
IN
CE.
Pur
ch
as
e
o
f C
oi
n or
B
ull
io
n:
Se
ct
ion
35
was
ta
ke
n
u
p a
nd
a
gre
ed
to
do
wn
to
t
ho
fi
rs
t
pe
rio
d.
W
it
h
r
esp
ec
t
to
t
he
se
con
d p
ar
t,
i
t w
as
t
he
opi
ni
on
o
f Mr
.
B
on
yn
ge a
nd Mr
.
Bur
ge
ss
t
ha
t t
he
w
or
d go
ld
sh
ou
ld
be
st
ru
ck
ou
t,
i
n
o
rd
er
tha
t
e
ith
er
g
ol
d o
r s
il
ve
r
mi
ght
b
e
pu
rch
as
ed,
t
hei
r
vie
w b
ein
g
th
at
th
e
me
nti
on
o
f
gol
d
in
cl
ude
d
sil
ve
r b
y
i
mp
li
cat
io
n.
he
C
ha
ir
man
sa
id
tha
t
hi
s
un
der
st
an
din
g w
as
the
p
ro-
vision as
it
stands would
not
prevent the
buying of
silver
b
ull
io
n,
bu
t
me
re
ly
pr
ovi
de
s
th
e
ma
nn
er
in
w
hi
ch
it
ma
y be
pu
rch
as
ed
,
th
at
i
s,
i
n th
e
op
en
m
ar
ket
.
H
e
a
ls
o st
ate
d
th
at
i
t
a
pp
lie
d o
nl
y t
o
do
me
st
ic
e
xc
ht:
nge
s
Mr.
Bu
rto
n
th
ou
ght
th
at
i
f
th
e
sec
ti
on
we
re
a
men
de
d
i
t
sh
oul
d
b
e by
s
ome
s
uc
h
ex
pr
es
sio
n a
s
the
fol
lo
wi
ng:
o
r
si
lve
r
whe
n
r
eq
ui
red
i
n
th
e
se
tt
lem
en
t o
f
e
xch
an
ge
s
in
fo
re
ig
n
c
oun
tr
ie
s.
Mr
.
Pri
nc
e w
as
i
n fa
vor
o
f
let
ti
ng
t
he
pa
rag
ra
ph
sta
nd
u
na
me
nde
d.
Mr
.
P
ad
ge
tt
p
re
fe
rre
d
to
ha
ve
it
st
and
as
it wa
s u
n-
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4
les
s
th
e
wo
rds
of
go
ld
an
d s
ilve
r
co
in
wer
e
in
ser
ted.
Mr.
Mon
ey
wa
s
of
the
op
ini
on
tha
t
th
e
p
ara
gra
ph
sho
uld
be
lef
t as
it
app
ear
s
in
the
R
evi
sed
P
lan
,
un
les
s
t
he r
igh
t
to
bu
y si
lve
r w
ere
men
tio
ned
spe
cif
ica
lly
.
Mr.
B
ony
nge
f
avo
red
th
e
su
gge
sted
amen
dme
nt
of
Mr.
Bur
ton
.
It
wa
s
fil
lefl
y ag
ree
d
to al
low
s
ecti
on
3
5
re
mai
n
un-
a
men
led
.
Rat
e of
E
xch
ang
e b
etw
een
t
he E
ast
and
t
he
Wes
t:
A
gen
era
l
dis
cus
sio
n Ika
s
had o
n
th
is
sub
jec
t a
nd
th
e
Ch:
Lir
man
wa
s of
th
e
opin
ion
tha
t af
ter
the
fin
al
re
po
rt
of
th
e Co
mmi
ssi
on
ha
d bee
n m
ade
i
t
mig
ht be
d
esi
rab
le
to
co
nsid
er
the
s
ubj
ect
mor
e
fvl
ly
and
spe
cif
ica
lly.
:
D
urin
g
the
ses
sio
n
of
the
Com
miss
ion
Ho
n.
Lawr
enc
e
O.
M
urra
y,
Com
ptro
lle
r
of
the
C
urr
enc
y, app
ear
ed
t
o c
omp
lete
a
rra
nge
men
ts
f
or i
nvit
ing
St
ate
Ban
k
Sup
erv
iso
rs
a
nd
Nat
ion
al
BLn
k
Exa
min
ers
b
efo
re t
he
Cor
mis
sio
n
fo
r
t
he
pu
rpo
se
of
c
ons
ult
ati
on
on
th
e qu
esti
on
of
ban
k
ex
ami
na-
ti
ons
.
T
he
Cha
irm
an,
w
ith
t
he
ap
pro
val of
t
he
Com
mis
sio
n,
req
ues
ted
M
t.
M
urr
ay
to
c
omm
uni
cat
e
w
ith
Mr
. J.
L
.
Mo
-
hundro, Chairman of the Association
of
Supervisors
of
S
tat
e B
ank
s,
inv
iti
ng th
em
to
a
ppea
r
o
n Thu
rsd
ay,
De
cem
-
ber
14,
191
1, an
d
t
o make
the
nec
ess
ary
arr
ang
eme
nts
f
or
th
e
att
end
anc
e o
f th
e N
ati
ona
l
Ban
k E
xam
ine
rs.
It
w
as
al
so
dec
ide
d t
o
inv
ite
tw
o
or
thr
ee
of
t
he
l
ead
ing
ban
ker
s o
f the
c
ount
ry to
be p
res
ent
a
t
t
he
sam
e
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t
im
e
t
h
e
S
t
a
te
S
u
p
er
v
i
so
r
s
an
d
t
T
at
i
on
a
l
B
an
k
E
xa
m
i
ne
r
s
a
pp
e
a
re
d
1
th
e
s
e
le
c
t
ic
n
t
o
be
m
ad
e
by
t
he
C
ha
i
r
ma
n
.
The Commission
thereupon
took
a
r
e
ce
s
s
u
n
ti
l
2
o
cl
o
ck
M
•••
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A
F
TE
R
R
EC
ES
:7
1
The
Co
mmi
ssi
on rea
sse
mb
led
at
2:
30
p
.
m
.
P
res
en
t Me
ssr
s. A
LJI
Cf
l( (77
AIR
MAN
),
V
REF,
LAI
,I;
(V
ICE-
CH
AI
-n 1
A.N
, UT
tiO
WS
DI
ONF
Y
BLI
PT O
N
WE
EKS
,
BONY
NG14
.;
73
A.7.
GET
T
,
BU
RGE
SS
, and
PRI
NCE
.
3
6.
It
w
as
ag
ree
d
to
i
ns
ert
a
fte
r
th
e
w
ord
n
ec
ess
ary
in
the fifth line the words in the discretion of
the
Se
cre
ta
ry o
f th
e Tr
eas
ur
y.
H
r.
Vre
ela
nd
a
nd
S
em
kto
r
Bur
to
n
r
ais
ed
th
e
q
ue
sti
on
as to
t
he
m
ean
ing
of
the
w
or
ds
cas
h
bal
anc
e.
Doe
s
it
i
ncl
ud
e t
rus
t
fu
nds
?
I
t
w
as
a
gre
ed
th
at
it
w
as
d
esi
rab
le t
o
lo
ok
int
o
t
his
la
ng
uag
e a
nd a
lso
fin
d ou
t
f
rom
t
he
Se
cr
eta
ry
cf • the
T
rea
sur
y h
ow
ma
ny t
us
t
fun
ds
t
her
e ar
e
in
the
:r
eas
ur
y and
wh
eth
er
th
ey a
re
ke
pt
s
epa
rat
e
fr
om
the
gen
era
l
f
und
s
of
th
e
T
re
asu
ry.
37 3
8,3
9,
40
.
Agr
eed
to
wit
hou
t
cha
nge
.
41.
There
was
considerable discuss
ion
as
to
whe
th
er
t
he
la
ngu
ag
e of
t
hi
s
p
ara
gra
ph
ca
rri
ed o
ut
the
int
ent
io
n of
S
ena
tor
A
ld
ric
h,
n
ame
ly,
to
mak
e t
he
ra
te
s
o
f
dis
cou
nt
o
f
th
e
Nat
ion
al
Res
e-v
e
Asn
oci
ti
on
s
upe
rio
r t
o t
he
u
sur
y
la
ws
of
t
he
sev
era
l
s
tat
es.
Mr
.
Vr
eel
and
s
ugg
est
ed t
hat
the
pa
rag
rap
h
be
am
end
ed
as
f
ol
low
s:
Th
e
N;
t
ion
al R
ese
rve
As
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socirition shall have
authority to
fix
the
rates
of
dis-
count
from
time
to
time, which, when
so
fixed, shall
be
published,
and
shall
be
uniform
throughout the
United
states.
The paragraph as thus
amended,
was
agreed
to.
42.
This paragraph was amended by
striking
out
in
line
three
the
words
to
a
limited amount;
by inserting a ,
after the
word
'bank
in line
four; and by
substituting
the word
acceptors for
the words
houses
in
the same
line, and as
amended was
agreedtc.
43.
L
e
0
This
paragraph was
amended by
inserting
aA
after
the word
bonds
in
line
two, and by
substituting
the word
also
for
the
word
a.
in the
same line. As
thus
amended, the
para,7raph was
agreed to.
44.
45.
Was agreed to.
This pararraph
was amended
by
substituting
for the
word
subscribers
in
line two the
words subscribing
banks , and by
W7riking out
in
line
four
the words in
thgland,
France, or Germany,
and by
striking
out the
word
other
in
the
same line. As
thus amended, the pi:tra
graph
was
agreed
to.
46, 47,
48,
and
49.
Agreed
to
wit out change.
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Where
upon
the
r o
mmiss
icn
ad
journ
ed
to 10
:30
o cl
ock,
a. m.,
Thu
rsday
, D
ecemb
er
7
,
1911.
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,
t
he
Co
mmi
ss
ion
m
et
at
1
3
a
. m.
P
re
se
nt:
Me
ss
rs.
A
LDR
IC
H (C
I:A
MM
AN
),
VR
FH
LAr
D (V
ICE
C
HAI
RM
AN
),
B
ITR
RO
WS,
MO
NE
Y,
BU
RT
ON,
W
T2
KS
, B
ONY
NG
E,
PA
D-
G
ET?
,
BU
RG
ES
S,
and
P
RI
NC
E.
W
as
hin
gt
on
,
D.
C
.,
Fri
da
y,
D
ece
mb
er
8,
191
1.
73
, 74
,
a
nd
7
5.
A
discussion
took place
regarding
the
paraR:r..phs
re
la
ti
ng t
o
U
ni
te
d
St
at
es
bo
nds
,
bu
t
no
c
ha
ng
es w
ere
m
ade
In
th
em.
14
,
1
5,
1
6,
17,
an
d
18
.
Th
e
C
ha
irm
an
as
ke
d
M
r.
We
ek
s for
his
pro
po
si
tio
n
re
ga
rd
ing
t
be
di
re
ct
ors
of
th
e
Na
ti
on
al
R
es
erv
e
Asu
oc
ia
-
tion.
Mr.
Weeks stated
i
n
w
ri
ti
ng as
fo
ll
ow
s:
his proposition verbally
and
later
Dir
ec
to
rs:
T
he
S
ecr
et
ar
y
of
t
he
Tr
ea
sur
y,
Th
e
S
ec
ret
ar
y o
f
Co
mm
er
ce an
d
La
bor
,
the
,
S
ecr
et
ar
y
of
Ag
ric
Ill
tu
re
t
he
C
omp
tr
oll
er
o
f
th
e
Cu
rr
en
cy,
li
ewa
ger
a
nd
As
-s4
-84
7 FA
.-1
4an
age
r.-
Fif
te
en
di
re
cto
rs
as
e
le
ct
ed
i
n
pa
ra
gra
ph
15
.
Ti
ft
ee
n
d
ire
ct
or
s as
el
ect
ed
in
pa
ra
gra
ph
1
5
fr
om
t
he
bu
si
ne
ss
in
te
res
ts
of
th
e
co
un
try
.
Th
e
las
t
f
if
tee
n
e
l
n
no
t be
at
t
he
sa
me
ti
me
d
ir
ec
tor
s
i
n
ot
he
r ba
nki
ng
in
st
itu
ti
ons
.
C
on
sid
er
ati
on
o
f
the
se
pr
opo
se
d
c
ha
nge
s
w
as
p
os
tpo
ne
d
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until
the
session of
the
Commission
on
1Jonday.
During
the
session of the
Coumission
Hon.
Lawrence
0.
Murray,
Comptroller
of the
Currency, Judge
Oldham
and
Mr.
Quinn
of
;ne Yreas )ry
nepartmeatn, appeared to pe-lt
t L
arrant;claents
for
the
drafting of the bill
to
submit to
Congress.
These
gentlemen
agreed to
cooprate
wth
the
Cogialission
in
drafting
the
bill.
At the
sag,;estion
or Mr.
Murray it
wus agliod
to invite
Hon.
Hurbert Knox
Smith,
Commissioner
of Corporations
to act
with
them.
Messrs.
Bonynge
Pitdgett
were
appointed
as
a com-
mittee to
render s.ich assistance as mu / be
necessary.
The
Secretary
was
authorized
to procure
rooms
and
all
needed
clercal
and other
assistar,ce
to
work under the
direction
of
the
gntlemen
in
the
c}iarge
of the preparation
of
the
bill.
At
twelve
o clock
mend
an, the
CONniSSiGh dj»rned
until
Monday,
December
li, 191t, at 10:30
a.
_a.
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2
4
Wa
sh
i
ng
to
n,
D.
C.
M
o
nd
ay
,
D
c
c
t.
:
i
l,
19
11
.
Th
e
Co
'dc
li
ss
io
n
ne
t
m
.
•
P
re
s
en
t:
M
es
1
-s
.
VR
EE
LA
7D
(V
It
E
-
CH
AI
RM
AN
,
BU
R
iO
WS
M
OI
TH]
Y
B
IT
1O
N
,
t
iri
ga:
S
B
O
7M
E
PA
D-
G
E
TT
u
nd
B
r
IR
GE
S.
T
h
e
C
ha
ir
ma
n
st
at
ed
hi
s
v
ie
w v
ij
fn r
f
to
features
whicll
w
ou
ld
be
i
n
cu
d
ed
in
th
e
fi
n
al
r
ep
or
t
o
f
t
he
C
om
m
is
si
on
.
H
e
st
at
ed
t
hud
,
it
s
ho
u
ld
be
a
pp
li
ca
bl
e
t
o
c
on
di
ti
o
ns
in
th
e
Un
i
te
d
S
ta
t
es
an
d
b
e
s
ma
et
hi
n
g
in
w
hi
c
h
th
e
Am
2r
ic
a
n
p
eo
pl
e
w
ou
l
d
be
i
n
te
re
sz
e
d.
In
a
s
ep
ar
a
te
r
e
po
rt
or
e
ls
ew
he
r
e
as
a
n
a
pp
e
nd
ix
ti
e
e
m
i
gh
t
be
t
re
at
me
n
t
o
f
fo
re
i
gn
ex
pe
r
ie
nc
es
.
T
he
re
wa
s
g
en
er
ui
di
s
cu
ss
io
n
o
f
t
he
fe
at
u
re
s
to
b
e
in
ci
Ad
ed
L
ti
t
he
:e
p
ort
anci
•o.
matter
was
left
mum
in the
h
an
ds
o
f
th
e
C
h
ai
r
mn
.
M
r
.
P
a
dg
et
t
s
ug
es
t
ed
th
at
a
j
oi
n
t
re
so
ll
At
io
n
b
e
i
n
-
tr
od
uc
e
d
in
Co
ng
r
es
s
pr
o
vi
di
ng
t
ha
t
t
he
C
om
m
is
si
on
s
hc
Al
d
f
il
e
i
ts
f
in
al
r
e
po
rt
b
y
J
n
ua
r
y
22
nd
.
No
ac
t
io
n
wa
s
t
ak
en
o
n
th
is
s
ug
il
'e
st
io
n.
M
r.
Bu
r
gu
as
ra
i
se
d
t
he
q
u
e
io
n
of
ad
jo
ur
ni
ll
en
t f
or
t
he
H
ol
id
ay
s
.
S
en
ti
m
en
t
s
ee
m
ed
to
b
e
th
at
th
os
e
w
h
o
wa
nt
ed
to
be
aw
ay
s
h
ou
ld
h
av
e
t
he
p
ri
v
il
eg
e
wh
il
e
t
ho
se
ah
o
w
er
e
r
e.
ria
in
in
g
in
t
h
ec
it
y
s
ho
ul
d
a
ss
is
t
i
n t
he
pr
e
pa
ra
ti
on
or
th
e
r
e
po
rt
.
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t
thi
s p
oint
D
r.
Andr
ew
WI°
h
ad c
ome
fro
m the
con-
fe
renc
e
o
f
the
co
mmit
tee
ln cha
rge
o
f t
he
d
raft
ing
of
the
bill
stat
ed
tha
t
t
he Com
mitt
ee de
sire
d to
k
now
wi
th
whom
th
ecer
tifi
cate
of
o
rgan
izat
ion
shou
ld be
f
iled
.
I
t was
agr
eed
b
y
the
Comm
iss
ion
that
suc
h
cer
tifi
cute
sh
ould
be
fi
led
with
the Se
dre
tary
of
Sta
te.
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33.
Mr.
Aldrich raised
tlie
question as
to whether
it is
n
eces
sary
to
s
tate
in
th
is act
tha
t
the Gove
rnm
ent f
unds
the
Res
erve
Asso
ciat
ion
de
posi
tec;
31a
lL be
he
ld
to b
e
m
oney
i
n
th
e Tre
asu
ry
of tho
Uni
ted
St
ates
.
Th
is s
ug-
ges
tio
n wa
s re
ferr
ed to
the
Coxp
trol
ier
of
the
C
urre
ncy
and
h
is
Comm
itte
e,
w
ho are
draf
ting
th
elan
gua
ge o
f t
he
sta
tut
e.
It
was agr
eed
t
o
stri
ke ou
t
the
wo
rds ca
sh
b
alan
ce
in
li
ne
and
to ins
ert
i
n
lieu
th
ereo
f
t
he w
ord
s
g
ene
ral
fu
nds
, a
nd als
o
str
ikeo
ut
the
fol
lowi
ng
w
ords
*
exc
ept
that
w
hen
nec
essa
ry the
G
cver
nmen
t m
ay des
igna
te N
a-
tion
al b
anks
fo
r th
at pu
rpos
e i
n
c
iti
es
whe
re
the
re i
s n
o
bra
nch of
the
N
atio
nal
Re
serv
e
Asso
ciat
ion.
2.
The
question was
raised whether
banks in the
col
oni
al
pos
sess
ions
of
the
Uni
ted
Stat
es c
ould
bec
ome
su
bscr
ibi
ng ban
ks
of
the
Res
erve
Ass
ccia
tion
. I
t
wa
s
ag
reed
not
t
o
touc
h
u
pon th
is
que
sti
on
in t
he st
atut
e
i
n
te
rms
,
but th
e
f
irst
s
ente
nce
of
sec
tion
wa
s ame
nded
t
o
re
ad
as
fo
llow
s:
All
nat
iona
l
bunk
s, a
nd
a
ll
ba
nks and
tru
st comp
anie
s ch
arte
red
by
a
S
tat
e,
Wai
ch
com
ply
wi
th
the
re
quir
ea e
nts
for
me
i be
rshi
p
h
erei
naf
ter
se
t
fo
rth
(
Secs
.
60-6
4)
ma
y
subs
crib
e to
th
e capi
tal sto
ck
of
t
he
N
atio
nal
Res
erv
e As
soc
iati
on.
In
the
n
inth
li
ne
o
f
th
is
se
ctio
n,
it
w
as als
o
agre
ed
t
o inse
rt
th
e
wo
rd
p
aid-i
n
aft
er
th
e v; o
rd
m
inim
um ,
an
d
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t
o
i
ns
e
rt
t
he
fo
ll
o
wi
ng
c
l
au
se
a
ft
er
t
he
w
or
ds
9
25
,
00
0
,
an
d
a
t
ru
st
co
mp
a
ny
h
av
in
g
a
m
i
ni
mu
m
c
ap
it
al
of
$
1
00
,0
0
0
.
(
1
)
I
t
wa
s
ag
re
e
d
to
p
ro
vi
d
e
i
n t
h
e
f
ir
s
t
s
ec
ti
o
n
t
ha
t
b
ef
or
e
c
om
pl
e
ti
ng
t
he
o
rg
an
iz
t
io
n
o
f
t
he
N
a
ti
on
a
l
Re
aa
f
ve
A
ss
oc
i
at
io
n
at
l
ea
s
t
$1
0
0,
00
0
,0
00
of
ca
p
it
La
a
a
st
be
p
ai
d
i
n.
28
.
T
he
q
ue
st
io
n
wa
s
r
a
is
ed
a
s
t
o
th
e
ex
p
en
se
s
of
th
e
o
wi
a
is
si
on
wh
ic
h
s
h
al
l pr
ov
i
de
th
e p
re
l
im
in
ar
y
o
r
ga
ni
za
-
tion of the National Reserve Association,
and
it
was
agreed
th
a
t
t
he
ri
st
dv
im
n
ex
pe
n
se
s o
f
t
he
C
om
m
is
si
on
sh
a
ll
be
ad
-
va
nc
e
d
b
y th
e
Go
ve
r
nm
en
t
an
d b
e
re
-p
ai
d
b
y
t
he
N
at
io
n
al
R
es
er
v
e
A
ss
o
ci
at
io
n
.
In
th
is
co
nn
e
ct
io
n
, i
t w
a
s
a
l
so
ag
r
ee
d
t
h
at
t
hi
s
C
o
m-
m
is
si
o
n i
n
ad
mi
tt
i
ng
su
bs
c
ri
bi
n
g ba
n
ks
,
m
us
t
se
e
th
a
t
n
o
b
an
ks
or
tr
us
t
co
mp
an
i
es
ar
e a
dm
i
tt
ed
,
w
ho
do
n
ot
co
m-
p
ly
wi
th
t
h
e
p
ro
vi
si
o
ns
o
f
t
he
a
ct
as
t
o
mi
ni
m
um
pa
id
-i
n
c
a
pi
ta
l
.
W
he
r
eu
po
n
t
he
C
om
mi
s
si
on
t
o
ok
a
r
ec
e
ss
un
t
il
2
:3
0 p
.
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3
AFT
ER
RE
CESS.
Th
e Comm
issio
n met
at
2:30
p. m.
Pres
ent:
Messr
s.
ALDRI
CH
(C
HAIR
MAN),
V
REELA
ND
(VIC
E-
CHAIR
MAN),
BUR
ROWS
,
MO
NEY?
B
URTON
, WE
I
,
MS BONY
NGE,
PAD
GETT,
un
BUR
GESS.
4
9.
After
a
lengthy
discussion
as
to
just what pro-
vis
ions
shoul
d be
inc
luded
in
the
statu
te
as
to
the
in-
c
orpor
ation
of for
eign
bank
s, as
f
or
insta
nce,
wheth
er
t
he
maxi
mum
capit
al, say
1
,000
,000,
sh
ould
be
fix
ed,
whet
her t
hese
ba
nks
s
nould
mLke
repor
ts
to the
Compt
rolle
r
cf
t
he Curre
ncy and
be
go
verne
d gen
erall
y by
suc
h
p
rovi
-
sions
of
the
Na
tion
al
Bank
ing
A
ct
as ar
e
f
ound
app
licab
le,
etc
.,
etc
.,
it
wab
ag
reed t
o refer
t
his m
atte
r to a
sub
-
comm
ittee
,
coas
isti
ng
of
Mr.
Wee
ks
and
Mr. Bony
nge, to pr
e
pare a
dra
ft of
i
ncor
porat
ion and
rep
ort
th
e sa
me
to
the
C
'amm
issio
n.
53.
This
se
ction
wa
s
take
n up
and
after
a
full
discussion
was
agr
eed
to
witho
ut
am
endme
nt.
At
the
su
gges
tion of
Mr.
Vre
eland
,
th
e oli
nissi
on
pr
o-
ce
eded
to take
up
thos
e pro
visis
ions
of th
e
plan tha
t
ha
d
p
revio
usly
been
consi
dered
and p
assed
o
ver.
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3
1
)
It
w
as
a
g
re
ed
to
p
ro
v
ide in
the first section
that
th
e
le
n
7t
h o
f
t
he
c
ha
rt
e
r
s
h
ou
ld
b
e
fi
f
ty
y
ea
r
s,
b
u
t
th
at
Co
n
gr
es
s
sh
o
ul
d
re
se
r
ve
th
e
ri
gh
t
to
a
lt
e
r,
re
vi
s
e,
an
d
am
en
d
t
he
c
ha
rt
e
r a
t
th
e
e
nd
of
e
ac
h
t
en
ye
ar
p
er
io
d.
M
r
. V
re
e
la
nd
c
al
k
d
a
tt
e
nt
io
n
to
t
he
l
as
t
se
n
te
nc
e
o
f
th
is
s
ec
ti
on
,
wh
ic
h
r
ua
ds
as
f
o
ll
ow
s
:
F
i
ft
y
pe
r
ce
n
t
o
f
t
he
s
ub
s
cr
ip
ti
o
ns
t
o
ti
l ca
p
it
al
st
o
ck
o
f th
e
Na
ci
on
a
l
R
es
e
rv
e
A
ss
oc
i
at
io
n
s
ha
ll
be
c
a
ll
ed
in
c
a
sh
;
th
e
b
al
an
c
e
of
th
e
su
b
sc
ri
p
ti
on
w
il
l
r
em
ai
n
a l
ia
bi
li
t
y
of
t
he
su
b
-
s
cr
ib
e
rs
,
s
u
bj
ec
t t
o
c
al
l
.
He
s
ai
d
t
h
at
h
e
t
h
ou
gh
t
i
t
d
es
i
ra
bl
e
t
h
at
th
e
s
t
at
ut
e sh
ou
l
d
st
at
e
th
e
c
i
rc
um
s
ta
nc
es
un
de
r
w
hi
c
h ti
l
a
dd
it
i
on
al
f
i
ft
y
pe
r ce
nt
s
ub
sc
r
ip
ti
o
n c
ou
l
d
be
ca
l
le
d.
No
fo
rm
a
l
l
a
ng
ua
ge
wa
s
ag
r
ee
d
u
po
n
, bu
t
i
t
w
as
agreed to instruct
Mr. Murray
and
his
colleagues to
so
d
ra
ft
t
he
s
t
at
ut
e
t
ha
t
th
is
ad
d
it
io
na
l
su
bs
c
ri
pt
i
on
co
u
ld
on
l
y
b
e c
a
ll
ed
mh
en
n
ec
es
s
ar
y
t
o
m
ee
t
th
e o
b
li
ga
t
io
ns
o
f
th
e
N
at
io
na
l
Re
s
er
ve
As
s
oc
ia
ti
o
n.
2
8.
M
r
.
V
re
el
a
nd
su
g
ge
st
ed
t
ha
t
th
e
re
ou
gh
t
to
be
s
o
me
general language
of
inscruction to
guide the Commission
wh
i
ch
i
s
to
p
ro
v
id
e
t
he
pr
e
li
mi
na
r
y
or
ga
n
iz
at
io
n
fo
r
t
h
e
N
a
ti
on
a
l
R
es
e
rv
e
A
ss
oc
i
at
io
n.
Af
te
r
f
ul
l
di
sc
u
ss
io
n
o
f
th
is
s
ug
g
es
ti
on
,
i
t
wa
s
ag
re
e
d th
at
it
s
h
ou
ld
b
e
p
ro
vi
de
d
i
n
cn
e
s
ta
tu
t
e
t
ha
t
t
h
e
f
l
t
e
en
b
ra
n
ch
es
of
t
he
Na
t
io
na
l
R
es
e
rv
e
A
ss
oc
i
at
io
n
s
ho
ul
d be
lo
c
at
ed
as
f
ol
lo
ws
:
1
i
n
th
e
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N
ew
Enl
and
Sat
es
th
ree
i
n
th
e
E
ast
ern
St
ate
s;
thr
ee
in
t
h
S
outh
ern
St
ate
s;
fou
r in
th
e M
idd
le
We
ser
n
Sta
tes
;
anu
fo
ur
i
n
th
e
We
ste
rn
a
nd Pa
cif
ic
Coas
t
S
tat
es.
Th
ere
upo
n
the
C
orm
iss
ion
a
djo
urn
ed u
ntil
1
0:3
0
a.
m.
T
ues
day
Dec
emb
er 12
1
311
.
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Washi
n6;ton,
D.
C.,
Tuesuay
,
D
ecembe
r
12,
191
1.
The
Commi
sson me
t
a
t 11
a.
in
Pres
ent: Me
s. AL
flRICH
CH
AIAN)
,
VREA
JAND
(VICE
-
CHAI
RMAN), B
URROWS,
/LONEY
B
URTON,
WEE
KS,
PADG
ETT,
BONY
NGE,
nd
BUR
GESS.
Severa
l
Olas
es of the
p
lan were
discus
sed
at
both tile
morninF
and
afternoon sessions, but no action was
tztken
The
C
ommiss
ion
djourn
ed
L
o
clock p.
m.,
unt
il
Wed-
n
esday,
Dtce
mber 13,
1911
,
at
10::30
a.
m.
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33
Wash:ton,
D. C.
Wednesday,
DeoemLer
16,
1911.
The
Coumission
met
at
10:30
a. m.
Present:
Messrs, ALDRICH CHAIRMAN),
1TRELAND
VICE-
CHAIRMAN), BURROWS, MONEY,
BURTON,
WEEKS,
BONYITGE,
PADGETT
and
BURGESS.
70.
Decided
to incorporate
a
paragraph
to
place an ob-
ligation
or
duty
on
the
Reserve
Association
to
maintain its
notes
on
parity
or a standard as
prescribed under
section
------
of
the
Act of
January
14
19
50.
Senator
Nelson was
called
by the
Commission
to
be
heard on
the
T
.airing
questions:
Whether
the National
Reserve
general
Association
should
allow
banks
to
loan a part
of theirlideposits
on
real
estate
or
confine
their
loans
to
savings
deposits, and
if
on
general
deposits,
what
proportion
o.P
the
same;
also,
what
restrictions
should
be
pls ced
upon
such
loans and
upon
what
percentage
of
the
real
value.
Senator
Nelson
stated
to
the
Com-
illission
that he
had investigated
this
matter
thoroughly
and his
opinion was
that
they should be
permitted
to
negotiate
mortgages
on
one-third
of the cash
value
of
farm
lands;
also
that
it
was
much
easier to
lean
on
farm vaper
than
commercial paper;Aaimmm
orier
,
44 4• 4iimaa
7 4
mOmmaiwaimederimelhew He
stated
that
they
should oe
permitted
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to
loan
one
-1.
-
1 -)f
'ime and
interest
bearing
deposits
on
real
estates whi6h
should
be
improl7ed
and
occupied property.
Whereupon
the
Commission
too : a
recess
until
2:30 p. m.
IFTER
RECESS.
The
Commission
reassembled at
2:30
p.
in.
Present:
Messrs.
ALDRICH
(CHAIRMAN),
VREELAND
( CE.
CHAIRMAN),
BURROWS,
MONEY
WEEKS
BOITYNGE,
PADGETT, BURGESS,
and
PRINCE.
At
the
sugue-tion
of
the
Chairmuo, it
Was agreed
that
each
member
of
the Commission
be
arnizned a
special
er.3tion
of
the
plan as
set
forth
in
Senator Aldrichts
speech at
New Or-
leans
on
November
21,
1911,
and prepare
his own
ideas,
which
will
be
c,1
)died in the final
report.
40.
Power
of
rediscount
granted
by Sections 3,
9
and
40
shall,
be
exercised
through
the
branch in
the
district in
which
the
bank
making
application
for
rediscount
is
located.
Whereupon, at 4:30
o'clock
p. m.,
the
Commission ad-
journed ant
il 10:30
1.
in.,
Thirsda:7,
December 14,
1911..
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Washington,
D.
C.,
Thursday,
December
14,1911.
The
Commission
met
at 10:30
a. m.
Present: Messrs.
ALDhICH
CHAIPAN),
VRE:rLAND VICE-
CHAIRMAN),
BURROWS,
MONEY,
BURTON, WEEKS, BONYNGE,
PADGETT,
BURGESS,
and
PRINCE.
At
the
request
of
the
Chairman, Hon.
Lawrence
O. Murray,
Comptroller of
the
Currency,
caused
to
be present
a
few
of
the national
bank
examiners and state
supervisors
for the
pur-
pose of
explaining
certain features
of
the plan
and
asking
their
cooperation in
assisting
in drafting
that part
.of
the
bill
which
relates
to
examinations to
be conducted
by
the
Reserve Association.
The
following gentlemen spoke
on the
subject
and
their
remarks are attached
hereto:
Mr.
L.
J.
Mbhundro,
Seattle,
Washington;
Mr.
E. F.
Rorebeck,
of
New
York;
Mr.
Giles
L.
Wilson,
of
Spartanburg,
South
Carolina; Mt. George Van Tuyl, Jr.,
of
Albany,
N. Y.;
Mr.
Arthur
B.
Chapin, of Boston,
Massachusetts;
Mt. F.
E.
Baxter,
of Lima, Ohio; and
Mr. B. L.
Gill, of Austin,
Texas.
At
1:15 p.
m. the
Commission took
a
recess until
2:30
p.
n
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s6
AFTER
RECESS.
The
Commission
reassembled
at
2:30
p.
m.
Present:
Messrs.
ALDRICH (CHAIRMAN),
EELAND
(VICE-
CHAIMAN),
BUPROWS, MONEY,
WEEKS, BONY/4GB and
PADGETT.
Mr.
Perrin
addressed the Commission
on
the
subject of permitting
the
Reserve
Association
to make such
examinations as
it
deems
necessary,
and his
remarks are attached
hereto.
At
the conclusion of
Mr.
Perrin s
remarks,
the
Commission
adjourned
until
10:30 a.
m. Friday,
December
15,
7.11.
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3
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rt
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er
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Se
cr
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ic
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5
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er
s
) o
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ro
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ac
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t-
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g
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om
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r
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ul
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te
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es
ts
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s
to
ck
d
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ct
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s
,
a
n
d
e
x o
ff
i
ci
o
m
em
be
r
s,
o
r a
to
ta
l
o
f
46
.
I
t
w
as
ag
re
ed
th
a
t
a
l
l
di
re
c
to
rs
o
f
t
he
R
es
er
ve
::
ss
oc
i
at
io
n,
w
h
il
e
s
er
vi
n
g a
s
s
uc
h,
s
h
al
l
no
t
b
e
o
ff
i
ce
rs
pi
d
ir
c
to
r
s
in
an
y
o
r ot
he
r
fi
na
n
ci
al
in
st
it
u
ti
on
s
uc
h
as
i
ns
ur
an
c
e
c
om
pa
n
ie
s,
e
tc
.
It
wa
s
a
ls
o
a
gr
ee
d
t
o
st
at
e
i
n
t
he
re
p
or
t
th
at
th
e
C
om
mi
s-
si
o
n w
as
c
o
ns
id
e
ri
ng
t
he
q
ue
s
ti
on
o
f
b
an
ks
m
a
ki
ng
l
oa
n
s t
o
di
r
ec
to
rs
o
r
t
o
in
st
it
u
ti
on
s
of
a
ny
d
es
cr
ip
t
io
n
in
wh
ic
h
di
-
rectors
of
the
bunk are
interested
, w
hi
ch
w
i
ll
be
tr
e
at
ed
in
an
ap
p
en
di
x.
28
.
T
he
b
ra
nc
h
es
s
ha
l
l
ha
ve
b
y-
la
w
s w
hi
ch
s
ha
l
l
pr
ov
id
e
f
or
t
he
a
pp
oi
n
tm
en
t
of
e
xe
cu
ti
v
e a
nd
o
th
er
c
om
m1
7,
te
e
s
wh
ic
h s
ha
ll
be
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su
bj
ec
t
to
th
e a
pp
ro
va
l of
th
e
N
ati
on
al
Re
se
rve
A
ss
oc
ia
ti
on
.
W
he
re
upo
n t
he
Co
mm
is
si
on t
oo
k
a
re
ce
ss
u
nt
il
2:
30
p.
m.
AF
TE
P
RE
CES
S.
T
he
Co
mm
is
si
on
r
ea
ss
em
bl
ed
a
t
2:
30
p.
Pre
se
nt
: Me
ss
rs
.
A
LD
RIC
H
CH
AI
RM
AN
),
VR
EE
LAY
D
VI
CE
-
C
HAI
RM
AN
),
B
URR
OW
S,
B
UR
TO
N,
B
ON
YN
G M
,
PA
DG
ET
T,
BU
RGE
SS
,
and
P
RI
NC
E.
Th
e
C
omp
tr
ol
le
r
of
th
e
Cu
rre
nc
y
an
d
th
e
N
at
io
na
l Ba
nk
E
x-
am
in
ers
an
d S
ta
te
S
up
er
vi
so
rs
s
ub
mi
tt
ed
th
eir
re
co
mm
end
at
io
ns
in
re
ga
rd
to
ex
am
in
at
io
ns
co
nd
uct
ed
by
th
e
Re
ser
ve
A
ss
oc
ia
ti
on
,
w
hic
h
is
a
tta
ch
ed
he
re
to
.
S
ug
ges
te
d
tha
t s
tan
da
rd
iz
at
io
n
of
b
la
nk
s
be
a
do
pt
ed
b
y
t
he
R
es
er
ve
As
so
ci
at
io
n f
or
th
e
n
at
io
na
l
a
nd
s
ta
te
e
xa
mi
na
ti
on
s
o
f b
an
ks
.
Wh
er
eu
po
n t
he
C
om
ui
ssi
on
ad
jo
ur
ne
d
u
nt
il
Mo
nd
ay
,
De
ce
mb
er
1
8
19
11
,
a
t
1
0:
30
a.
m.
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BANK EXAMINATIONS STATE N
NATIONAL.
WASHINGTON D. .
December
15
1911.
To
the NATIONAL MONETARY
COMMISSION
Washington
D.
.
GENTLEMEN:
We have been asked to
consider
the ques-
tion of
bank examinations both
national
and State
n
so
far
as
they
may
elate to
the National
Reserve
Association
and
after a
careful consideration
of
the question
we
beg
to
submit our
views.
In considering
the
question in a
broad
way
we have
had
in
mind
two
points
which
seem
to
us very
essential.
First. To avoid the added expense
to
the banks
of
building up the
machinery for
an
entirely
separate
and
additional system
of
examination.
Second. To utilize
in so far
as possible
and
practicable
the
existing
machinery for
bank
examinations as
estab-
lished to-day
for
both
national and
State
banks.
It was
necessary
to carefully
consider three
important
points as
follows.
First.
It
is
possible
that the
examinations
as
they
exist
to
-day both State
and
national
might
not meet
the
re-
quirements
of the directors of the National Reserve
Association.
Second.
There are
a
few
States
where
there is no
State
supervision of
any kind
of
State
banks.
Third.
There are
a
few
States
where there
is
State
supervision
of State
banks
but
the executive
officer
is not
privileged by law to
disclose
information regarding
banks
under
his
supervision.
20351
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2
/
We h
ave
c
sidered
e
ach of th
e abov
e
ptSint
s
and
in
our
opinion
he
plan
we present
obviatei
each
diffi
cul
ty
and
ut
iliz s
withou
t additi
onal
e
xpense
to the
ban
ks
the
p
reset
machi
nery
of ba
nk exa
minatio
ns
bo
th
Sta
te
and n i
onal.
e
here
fore mak
the foll
owing
recor
itimend
ations:
That
the
Nati
onal
Reser
ve
As
socititi
on
shall
for
all
m
ember
banks
accept op
ies o
f
the
rep
orts of
t
he natio
nal
-
ban
k
exam
iners
for
rkit
ional
bank
an
d
co
pies
of
the
report
s of Sta
te
ba
nk e
xamine
rs:
or
Sta
te
bank
s a
nd
trust
companies
where
the
furnishing of
such
informa-
tion
is
n
ot contr
ary t
o 1
w;
provide
d
howeve
r that
the
stan
dard of
suc
h examin
ions bot
h nationa
l a
nd
State
meet
t
he requi
rement
s
of
thei
irec
tors of t
he
Nationa
l
Rese
rve As
sociati
on.
That
in all
ca
ses
whe
re e st
andard
of
examina
tion
either
nati
onal or
State
is
ot up
to the
said req
uire-
ments
the di
rectors of
the.
tiona
l Rese
rve
Associ
ation
shall
make
or caus
e to
be nlitd
ndepe
ndent e
xaminat
ions.
That
the
Directors of
the Na
ional
Reserve
Association
have t
he r
ight to
examip
ie
or
us
e to
b
e
e
xamine
d at
a
ny
time a
ny
membe
r
sa
nk b
its
own
repre
sentati
ves.
T
hat t
he
n
ational
anci
Sta
te
e miner
s
be
all
owed
such
addit
ional
compen
satiqi
to be
p
d b
y the
Nationa
l Re-
serve Associa
tion
for in
aking
exti rep
orts
to it
as
the
directo
rs thereo
f
ma
y
o
nsider
just
iand
equita
ble.
he
plan
w
hich
w
reco
mmend
in a
la
rge
me
asure
avoid
the
addit
ional/e
xpense
t
o
th
e
b
anks of
buildi
ng up
another
organizati
for
their
exam
ation
;
it
wil
l
give
t
o
th
e directo
rs
ofl
the N
ational
Res
ve
Associ
ation to
the
b
ranches
t
he of
and to
the l
oc 1 ass
ociatio
ns the
infor
mation
whic
is needed
an
d it
r
serves
to the
Na-
tional
Re
serve
A
sociat
ion the
right
to
nake
indepen
dent
exa
minati
ons wfti
enever t
he dire
ctors t
hrreof desi
re
to do
s
o.
The p
lan As s
imple
p
ractica
ble
arid
wo
rkable
f
rom
the
start.
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e
h
a
v
e
c
o
n
si
d
e
r
e
d
e
a
ch
o
f
t
h
e
a
b
o
v
e
p
o
i
nt
s
a
n
d
in
our
o
p
i
n
i
on
t
h
e
p
l
a
n
w
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p
r
e
s
en
t
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a
te
s
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a
c
h
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ff
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c
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l
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a
n
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ti
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iz
e
s
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t
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ad
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t
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a
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p
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nk
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t
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c
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f
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a
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m
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o
t
h
S
ta
t
e
a
n
d
n
a
t
i
on
a
l
.
e
h
e
r
e
f
or
e
m
a
k
e
h
e
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o
l
lo
w
i
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r
e
c
o
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t
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o
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s
:
T
h
a
t
t
h
e
N
a
ti
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a
l
R
e
s
er
v
e
A
s
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oc
i
a
t
i
on
s
h
a
l
l
f
o
r
a
l
l
m
e
m
b
e
r
b
a
n
k
s
a
c
c
e
p
t
c
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p
i
e
s
o
f
th
e
r
e
p
or
t
s
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f
t
h
e
n
a
ti
o
n
a
l-
b
a
n
k
e
x
a
m
i
n
e
r
s
f
o
r
n
a
t
i
on
a
l
b
a
n
k
s
a
n
d
co
p
i
e
s
o
f
t
h
e
r
e
p
o
rt
s
o
f
S
t
a
t
e
b
a
n
k
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x
a
m
i
n
e
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f
or
S
t
a
t
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b
a
n
k
s
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n
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us
t
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o
m
pa
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e
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r
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u
r
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i
sh
i
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c
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-
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s
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ot
c
o
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r
ar
y
t
o
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a
w
;
p
ro
v
i
d
e
d
h
o
w
e
ver
that the
s
t
a
n
d
a
r
d
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c
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xa
m
i
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o
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a
t
io
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l
a
n
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ta
t
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e
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u
i
r
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e
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t
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o
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r
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ct
o
r
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o
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h
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a
t
i
o
n
al
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e
s
e
r
v
e
A
s
s
o
ci
a
t
i
o
n.
T
h
a
t
i
n
a
l
l
c
a
s
es
w
h
e
r
e
t
h
e
s
t
a
n
d
a
r
d
o
f
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a
m
i
n
a
t
i
o
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e
i
t
h
er
n
a
t
i
o
n
al
o
r
S
t
at
e
is
n
o
t
u
p
t
o
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h
e
s
a
i
d
r
e
q
ui
r
e
-
m
e
n
t
s
t
h
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d
i
r
ec
t
o
r
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of
th
e
N
a
t
i
o
n
a
l
R
e
s
e
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v
e
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s
o
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at
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o
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al
l
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a
k
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d
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a
m
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na
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i
o
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h
a
t
t
h
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D
ir
e
c
t
o
r
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o
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on
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l
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e
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i
at
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o
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v
e
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gh
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a
m
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n
e
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c
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u
se
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be
examined
at
a
n
y
t
i
m
e
a
n
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m
e
m
b
e
r
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n
k
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s
o
w
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p
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se
n
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e
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.
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t
t
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e
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t
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o
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t
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t
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h
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e
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t
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y
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on
s
i
d
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j
u
st
a
n
d
e
q
u
i
t
ab
l
e
.
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h
e
p
l
a
n
w
h
i
c
h
w
e
r
e
c
o
m
m
e
n
d
w
i
l
l i
n
a
l
a
rg
e
m
e
a
s
u
r
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a
v
oi
d
t
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a
d
d
i
t
i
on
a
l
e
x
p
e
n
s
e
to
t
h
e
b
a
n
k
s
o
f
b
u
i
l
di
n
g
u
p
a
n
o
t
h
er
o
r
g
a
n
iz
a
t
i
o
n
fo
r
t
h
ei
r
e
x
am
i
n
a
t
i
o
n
;
i
t
wi
l
l
g
i
v
e
t
o
t
h
e
d
i
r
ec
t
o
r
s
o
f
the
National
Reserve
Association
to
t
h
e
b
r
a
n
c
h
e
s
t
h
e
r
eo
f
a
n
d
to
t
h
e
l
oc
a
l
a
ss
o
c
i
at
i
o
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t
h
e
i
n
f
o
r
m
at
i
o
n
w
h
i
c
h
i
s
n
e
e
d
e
d
a
n
d
i
t
r
e
s
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r
ve
s
t
o
t
h
e
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a
-
t
i
on
a
l
R
e
s
er
v
e
A
s
so
c
i
a
t
i
on
t
h
e
r
ig
h
t
t
o
m
a
k
e
i
n
d
e
p
e
nd
e
n
t
e
x
a
m
i
n
a
t
i
o
n
s
w
h
e
ne
v
e
r
t
h
e
di
r
e
c
to
r
s
th
e
r
e
o
f
de
s
i
r
e
to
d
o
s
o
.
T
h
e
p
la
n
i
s
si
m
p
l
e
pr
a
c
t
i
ca
b
l
e
a
n
d
w
o
r
k
a
b
l
e
f
r
o
m
t
h
e
s
t
a
r
t.
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•
BA
N
K
N
CA
M
IN
A
TI
ON
S
ST
AI
E
AN
D
NA
T
IO
NA
L
.
W
AS
KI
NG
TO
N D
.
.
De
cem
be
r 1
5,
19
11
.
To
the
NATIONAL MO TARY
COMMISSION,
Wa
shi
ng
ton
, D
.
.
GE
NT
LE
ME
N:
We
a
ve
t
bee
n
a
ske
d
to
co
nsi
der
th
e
q
ues
-
t
ion
of
b
an
k e
xa
mi
nat
io
ns
b
ot
h
ii
ati
ona
l
a
nd
Sta
te,
n
so
f
ar
as the
y m
ay
ela
te
t
o
t
hk
N
at
ibn
al
Res
er
ve
A
ss
oci
ati
on
,
a
nd
af
ter
a
ca
ref
ul
co
ns
ide
lit
ig
h o
f t
he
qu
est
io
n,
we
b
eg
to
su
bm
it
ou
r vie
ws
.
In
c
ons
id
eri
ng
the
q
ue
sti
on
i
l a
b
ro
ad w
ay
w
e
h
av
e
h
ad
in
m
in
d tw
o po
int
s
whi
ch
se
gm\
to
u
s
v
ery
e
sse
nti
al.
First.
To
avoid the
addid
pense to the
banks
of
b
uil
din
g
up
th
e
mac
hi
ne
ry
fo
r l
e
nt
ire
ly
s
ep
ara
te
an
d
add
it
ion
al
s
yst
em
of
ex
at
sin
at
ion
Se
con
d.
To
ut
ili
ze
in
o
ar
a
s p
i
ble
and
pr
act
ica
bl
e
th
e
e
xi
sti
ng m
ac
hi
ne
ry
fo
r
b
an
k
e
m
in
at
ion
s
as
est
ab
-
li
she
d
to
-d
ay
f
or b
ot
h/n
ati
on
al
a
nd
S
te
ban
ks
.
I
t
wa
s nec
es
sar
y
car
ef
ull
y
c
on
sic
fr
th
re
e
i
mpo
rt
an
t
p
oin
ts
a
s
fo
ll
ows
:
F
irs
t. It
is
p
oss
iil
e th
at
th
e
e
xa
mi
nat
ro
ns
a
s t
he
y
ex
is
t
to
-day, both
State
and
national
might
ni
pt
meet
t
he
r
e-
q
ui
re
men
ts
o
f
the
dir
ec
tor
s of
the
N
Ai
on
al
Res
er
ve
As
so
cia
tio
n.
Se
co
nd.
Th
ere
ar
e
a
f
ew
St
ate
s
wh
er
e
th
ere
is
no
St
at
e
sup
er
vis
ion
of
a
ny
ki
nd
of
S
tat
e
ba
ns
T
hi
rd.
er
e
ar
e a
fe
w
Sta
te
s
wh
er
e
th
erc
i
s
Sta
te
su
pe
rvi
sio
of
S
ta
te
ba
nk
s, b
ut
the
e
xe
cu
te
of
fic
er
is
n
ot
pri
fri
leg
ed
b
y la
w
to
di
scl
ose
i
nf
orm
at
ion
r
eg
ard
in
g
ban
ks
ti
de
r
his
su
pe
rvi
sio
n.
20.3
51
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3
In
additi
on
to
t
his it w
ill ha
ve a
tend
ency to s
tanda
rd-
ize
on a
hi
gher plane
all
bank
examinations.
V
ery
re
spect
fully
submi
tted.
J
L.
MOHU
NDRO
Stat
e
Bank
E
xamin
er
or
th
e
Sta
te of
W
ashi
ngton
.
A
RTHU
R
B.
CHAPI
N
Ban
k
Com
missi
oner
fo
r
the
Commo
nwea
lth
of
M
assac
huset
ts.
F.
E.
BAX
TER
S
uperi
ntend
ent of
Ban
ks
or
the
Stat
e
o
f O
hio.
0
L.
GI
LL
State
Com
miss
ioner
of
Ins
uranc
e and
B
anki
ng or
the
Sta
te of
Texas
.
GEO.
C
.
V
AN
TuvL
Jr.
Su
perin
tende
nt
of
Ban
ks
or
the Stat
e o
f
N
ew
Yor
k.
E.
F.
R
OREB
ECK
Nat
ional
Ban
k Exami
ner or the City
of
N
ew
Y
ork.
GIL
ES
L.
WILs
oN
National
Bank
Examiner
for
South
Carolina
and
Georgia
a
nd
for
merly
S
tate Ba
nk
Exa
miner
for
Sou
th
Ca
rolin
a.
LAWR
ENCE
0
MURR
AY
Co
mptro
ller of
t
he Cur
renc
y.
7/17/2019 056_081_06.pdf
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W
ash
ing
ton
,
D.
7
.,
londay,
December
18
, 1
911
.
The
C
omm
iss
ion met
at
10
.30
A.
—
P
res
ent
:
es
srs
.
Aldr
ich
(Cha
irt
han
),
v
ree
lan
d
(V
ice
-C
hai
r-
man
),
B
arc
ows,
Mo
ney
,
W
eek
s,
Ron
ynge
and
Pa
dge
tt.
J .
The
fo
llo
wing
par
agr
aph
wa
s
agr
eed
to
be
i
nser
ted
at
the
e
nd of
pa
rag
raph
55
o
f
t
he
pla
n:
P
rov
ide
d
tha
t
no
cir
cula
tin
g n
ote
s
sha
ll
b
e
iss
ued
b
y
t
he
Yat
ion
al
e
ser
ve
As
soci
ati
on
wh
ene
ver
an
d
so
l
ong
as
the
res
erv
e
h
ere
in
req
uir
ed
s
hal
l f
ail
bel
ow
33
1/
3 per
cen
t of
suc
h
no
tes
out
sta
ndi
ng.
70.
The fo
llo
win
g
p
arag
rap
h w
as ag
reed
t
o
be
i
nser
ted
t
the
e
nd
of
p
ara
gra
ph
/0:
Th
at i
t
sha
ll be
tha
du
ty of
th
e
Y
ati
ona
l
R
ese
rve
Ass
oci
atio
n to
mai
nta
in
at
al
l
tim
es
p
ari
ty of
va
lue
o
f
t
hei
r
ci
rcu
lati
ng
no
tes
w
ith
t
he
st
and
ard
established
by
the first section
o
f th
e
act
a
ppr
ove
d
Mar
ch
1
4,
19
00.
Mr.
Bo
nyn
ge t
her
aJp
on p
rese
nte
d to
th
e
Ch
airm
an
t
he r
ough
dra
ft
of
t
he
bil
l
be
ing p
rep
ared
at
the
Tre
asu
ry De
par
tmen
t,
w
hich
w
as
i
mme
dia
tel
y
ma
de the
s
ubj
ect
of
dis
cus
sio
n.
T
itl
e.
A
gre
ed t
o
in
sert
in
t
he
ti
tle
of
the
p
ill
a
2te
r
the
wo
rds
U
nit
ed
sta
tes
i
n li
ne
a
nd fo
r
ot
her
p
urpo
ses
.
Sec.
2
, li
ne
1,
aft
er th
e
wo
rd
3
ank
s ,
Agr
led
to st
rik
e
ou
t
th
e
w
ord
or a
nd
ins
ert
the
w
ord
s
and
S
ec.
3
.
Ag
ree
d
t
o
in
ser
t
in l
ine
1,
a
fte
r t
he
wor
d
Tre
asu
ry
, t
he
aor
ds
t
he
Se
cro
tary
o
f
Ag
ric
ultu
re,
a
nd
in
7/17/2019 056_081_06.pdf
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4
lin
e
6,
a
fte
r
the
word
s s
hal
l b
e i
nse
rt
th
e
wo
rds
p
aya
ble
o
ut
of
the
Treasury, and to
strike out the
words paid
out
of any
m
one
y
in
th
e Tre
asu
ry
n
ot
ot
her
wis
e a
ppr
opri
ate
d,
In
the
sec
ond
par
agr
aph
, lin
e
4,
afte
r
th
e w
ord
Ass
oci
a-
tio
n,
s
tri
ke
out
t
he
word
s in
s
uch
pla
ces
us
t
he
si
c
omm
itt
ee
may
des
ign
ate
.
Se
c.
4.
Thi
rd
pal
agr
aph
,
li
ne
1, ag
l
L
a
to
at
rik
e out
t
he
wor
ds fr
om
tin
e t
o t
ime
,
and
in
ser
i
shifi
p
hra
se in
lin
e
af
ter th
e w
ord
Wht
/eL
pon
,
a
t
1.
00
o'
clo
ck
P. H.
,
the
Com
mis
eion
to
ok
a
r
ece
ss
unt
il
2.
30
P
.
M.
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AFTERNOON
SESSION.
Monday,
Dece
,lber
18,
19]l.
The Commission reassambled
at
2:30 o'clock p.m.
Present:
Messrs.
Aldrich
(Chairman),
Vreeland
(Vice
-
Chairman),
Burrows, Burton,
Weeks,
Bonynge,
Padgett, and
Prince.
1r
Bonynge
u ested
that
when new
banks come
into
the
Association, the,
should
pay
for
their
stock
at
its
book value
at
the time
of
their
admission
to
membership.
The
suggestion
was
agreed to.
Section
2. The
following
sugges
ion
of Mr.
Padgett
was
agreed
to: That
in
paragraph
3,
under
subdivision b ,
after the
words
population of ,
where
they
first
occur,
:rovision
be
made
whereby
cities
having
a
population of
less
than
10,000
and not
more than
50,000 should be
roqu:red
to have
a
paid-in and unimpaired capital of not
less
than
$50,000.
Upon the
suggestion
of the
Chairman, it was
agreed
that
no
subject
headings for
differ-nt
provisions of
the
bill
be
made, that
not
being the
general form
followed
in
the make-up of
bills.
Section
3
The
aendments
made
at
the
morning sef
sion
of
this
date
are
to
rmnain unchanged.
Secticn
4. Mr.
Vreeland thoue7ht that
at the
end of
the first
paragraph
some
provision should
be
made
for
in-
dicating clearly
that, where States are
mentionec.,
it is
not
intended to limit
the
size
of
the
districts
by
State
lines.
The
Chairman
suggested
the
insertion of
the
words
having
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r
efe
ren
ce
to
bus
ine
ss
c
ent
ers
, o
r
h
avi
ng
r
efe
ren
ce
t
o th
e
a
cco
m °d
ati
on
of
th
e ba
nks
i
n
t
he
te
rri
tor
::
If
M
r.
Pad
ge
tt
sug
ges
ted
th
at n
atu
ral
d
ivi
si
ons
a
nd
com
er
cia
l
rel
ati
ons
,
a
nd
tr
ade
cen
ter
s
be
u
sed
.
Th
e
Ch
air
ma
n
fu
rth
er
su
gge
st-
e
d
th
e
wor
ds
ha
vin
g
r
ela
tio
n
t
o
t
he
mt
ura
l
com
me
rci
al d
i-
vi
ejo
ne
i
n
tr
ade
c
en
ter
s;
a
nd T
.r.
Pad
ge
tt
f
urt
he
r su
gge
ste
d
t
he
w
ord
s,
In
fo
rm
ing
sa
ia
dis
tr
ict
s,
S
tat
e
lin
es
ne
ed
not
b
e
f
oll
owe
d.
Af
te
r
con
si
der
abl
e
d
is
cus
sio
n,
it w
as
d
ec
ide
d
to
al
low
t
he
mL
L
ter
to
g
o
ove
r
an
d
t
o
ha
ve the
p
ara
-
gra
ph que
rie
d,
to
b
e
tak
en
up
l
ate
r.
Sec
tio
n
5 p
ass
ed ov
er.
ect
in
C.
1:
1)bj
ect
m
at
ter
of
l
ast
. par
agr
ap
h
to
be
ta
ke
n
u
p
la
ter
. P
ema
in
der
o
f
th
is
se
cti
on
a
ere
ed
to
.
S
ect
ion
7
w
as
agr
eed
t
o,
w
it
h th
e ex
ce
pti
on
th
at i
t
was
t
hou
gh
t
th
at
ma
nag
ers
for
th
e
b
ran
che
s
s
hol
;ld
als
o
be
provided
for
in the
last paragraph.
Sec
tio
n
P.
Agr
eed
to.
Yr.
Pad
ge
tt
su
gg
est
ed
t
hat
so
me
r
ro
vis
ion
s
ho
i
d
be
mad
e
th
at
, in
L.
he
ev
ent
the
n
umb
er o
f
dis
tr
ict
s i
s
in
cre
ase
d ab
ove
15
,
the
re
sho
uld
be
f
or
eac
h
dis
tri
ct
tw
o add
iti
o
eal
di
rec
tor
s,
to
b
e
el
ect
ed
as
se
t
f
ort
h
in
pa
rag
ra
e
hs
1
anH
2
of
t i
s
sec
ti
on.
S
ect
ion
9.
I
t
w
as
the
:
un
ani
mou
s
op
ini
on
th
at
pa
rag
rap
h
24 o
f
th
e
,
evi
sed
Pl
an
fo
r
Su
n' e
ste
d
lo
net
ary
Leg
iaL
tio
n
s
hou
ld
b
e
in
ser
ted
at
t
he
beg
inn
ing
of
th
e
s
ec
tio
n.
Sec
tio
n 1
0.
To
he
ch
ang
ed
a
nd
m
odi
fi
ed.
P
ass
ed
ove
r.
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-3
-
O
n
suY
esti
on
of
H.r.
P
adget
t,
it
w
as
agree
d
t
o
a
mend this
sect
ion
as
fol
lows:
Af
ter
t
he cy
..
ds
exe
cute an
d
file
, in-
sert the words
nw
h th
e E'
ecreta
ry of
Stat
e
a
cert
ifica
te
sett
ing fort
h the
f
act of
th
e paym
ent
of o
ne
h
undre
d m
il-
lio
ns
of
do
llars
; and
th
ey s
hall
fu
rther
f
ile
with
the
Compt
rolle
r
of t
he
Cur
rency
a cert
ifica
te
s
howin
g t
he b
anks
whic
h
ha
ve su
bscr
ibed.
Y
r. Padge
tt al
so
sugg
ested
t
hat
the
re sh
ould b
e a
fur
ther
pro
visio
n
that,
a
s the
ba
nks su
b-
scri
be
aft
er
the or
ganiz
ation
is com
plete
,
t
he
Co
mptro
ller
of
the
Cu
rrenc
y is
t
o b
e
n
otif
ied
of
the
fac
t.
Se
ction
s
11
and
1
2.
Stri
ke ou
t.
Sect
ion
13.
The
follo
wing
su
gges
tion
of
27
7
onyn
ge
w
as
agr
eed to
: Th
at after
the
word
s and
u
nder
no cir
cum-
sta
nces
shal
l
th
ey
be
,
ther
e
be
ins
erted
the
wor
ds
hy-
p
othec
ated
or
. Th
e foll
owin
g
sugg
esti
on of
1:r.
Padg
ett
wa
agreed to: In line
1
of this
section,
after
the
word
c
a-ita
l ,
in
sert the
word
sto
ck . At
the
sugg
estio
n
of
the
C
hair
man, it w
as agre
ed
to
st
rike out
th
e
w
ords
ac
-
kn
owled
ged
befo
re a
jud
ge
of
a
ou
rt
of
r
ecord
or
a
n
otary
publi
c
and
sh
all be .
Th
e
fol
lowi
ng
su
ggest
ion
of
77r.
Pad-
gett
w
as
agre
ed
to:
In
the seco
nd
par
agrap
h of
t
he
sect
ion,
in
next to the
l
ast
line,
bef
ore
th
e
wor
d
stoc
k ,
inse
rt
the
word
s
p
aid
-in
. I
n
th
e
th
ird
pa
ragra
ph
of
t
his
se
ction
,
it
as a
gree
d to
s
trike
th
e w
ords
ac
knowl
edc,e
d
bef
ore
a
ju
dge
of a
cour
t
of
re
cord
or
a
n
otary
pub
lic
a
nd
sh
all
b
e .
;e
ction
14.
.
Agre
ed
to.
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4
Section
15.
Agreed
to.
Section 16.
The
following
suggestion of
the
Chairman
was
agreed to:
In
line
1,
strike out the
words an
auditing
co'Inittee ,
and
insert the
words
a board
of examination ;
in
line 5,
strike
out
the
word
committee , and
insert
the
word board ;
in line
strike out the
words audit
the
books , and insert
the
words
carefully
examine the
condi-
tion and the
business ; and
in line 7,
str:Ke out the
word
report ,
and
insert the
word
statement .
Section
17.
Mr.
Padgett
suggested
that it
be
amended
by
providing that the
powers
and duties
shall
be
prescribed
by
th
by-laws
of
the
various
branches,
subject to the ap-
proval of
the
rational
Reserve
Association
.
Upon
the
suggestion
of the
Chairman it was agreed to
strike out
the
words and length of
service .
Section 18. It was agreed to
strike
out
the
words
and
terms
of office .
Also, to
transfer
this section
to
place
it near
othe4provisions
as
to local association
of-
ficials.
Section 19.
Agreed
to.
It
was
also agreed
that
some provision
must be made
for
incororating,in a
limited
way,
the
rational
Reserve
Association,
in
which event
the words
articles of
associa-
tion ,
wherever the,
appear,
shall
be
stricken
out.
It
was
also agreed
that
after
the
preliminary work
on
the
draft
of
the
bill
was
complete, the
provisions
should
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b
e so
rear
ran
ged
tha
t
t
he
v
ari
ous
pr
ovi
sio
ns
mig
ht
a
ppea
r
in
the
ir
pro
per
a
nd l
ogi
cal
or
der
.
T
he
C
onm
iss
ion
a
djo
urn
ed
to me
et t
10
:30
a.
m. Tue
s-
d
ay
D
ece
mbe
r 19
19
11.
•
M
i
11
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Wa
3:
.
..inc
;ton
L
r
T
uesd
ay,
.Je
cetY
eer
19
, 191
i
T
he Coe
lic i
ssion
me
c
at
10.3
0
A
Pres
ent:
Ald
ric
h
((
hair
man)
,
7r
eela
nd
Vic
e-
Chn
,
Barr
ows
,
Ion
ey, W
eeks
,
13
onyn
ge a
ct Pad
gett
.
r
.
Bony
nge
sugg
este
d
th
at
th
ere L
e
i
nser
ted
in
t
he
fir
st
pa
ragr
aph e.nd
word
s body
co
rpor
ate.
7.
P
he
Cha
inma
n
su
gge
sted
that
in
S
ecti
on
s
econ
d
para
grap
h, and li
ne
15,
the
wo
rds
ca
uler
cial
and
agr
icu
ltur
al
b
e tra
nspo
sed
.
8.
Tr
Pad
get
t s
ugge
sted
tha
t i
n pa
ragr
aph
sec
ond
of
Sec.
8,
line
5,
t
o
stri
ke ou
t
t
he
wor
ds
o
f
b
anks
n
or
an
d in
ser
th
e word
or
.
9
.
Agre
ed
to st
rike
out in
the
last iine
of
Section
9,
th
e word
s
arti
cles
of
a
ssoc
iati
on o
r
the
.
2
.
Agre
ed
u ins
ert
i
n
Sec
tion
l
ine
12
af
ter
ch
e
Aor
d
s
ubs
crip
tion
s
t
he w
ords
o
r any
part
t
net
eo
f.
The
que
stio
n of
th
e imp
airm
ont of
the
cap
ita
l of
the
Res
erve
As
soci
atio
n
was
br
ough
t
up
ty
the
of
fic
ials
o
f
the
Tre
asu
ry
Dep
artm
ent
and
i
t was d
ecid
ed that
th
e
con
ting
ent
fund
a
nd
the
priv
ileg
e of th
e
call
of
50
per
ce
nt ampl
y
cov
ered
this
po
int.
The
qt
esti
on was
als
o
rais
ed as
to
the
rig
ht
of th
e Ass
oc-
ia
tion
to
own
rea
l esta
te
an
d to
er
ect bank
ing ho
uses
,
and
it
was
deci
ded
n
at
i
t did
hav
e
thi
s
p
riv
ileg
e,
w
ith
no
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Another
question
was
submitted
by
the
Treasury
officials
-
whether
tie.c
Association
will. pay
for
exteninations
of
banks,
and
it
was
suggested
that
the plan
submitted
by the
State
and
National
examiners
a
copy
of
whiun was
sent to
the
Department),
covered this
point.
T ,
as
decided
to
incorporate
the
foilowing
section of
the report
of
the
.,tate
and
'Iationai
examiners
in
the 31.11:
That
the
rational 'eserve Association
shv..1
for ail subscrib-
ing
bLnis:a
J.ocept
copies
of
tlie reports
of
the national
oank
examiners
for
national banks
and
copies of
the
reports of
4,ate bank
examiners
for
tte banks and
trust
companies, where
the
filrnishing of such
information
is
not
contrary
to
law;
provided,
however,
that the
standard of
such
examinations,
both
nationai
and
State, must
meet
the
Iequirments of the
directors
of the National
eserve
Association.
Sec. O.
Agreed. ,u
cnange so
as to
read as
follows:
The
earnings of
the 7.7iational
7:eserve
Association
shall
oe
disposed
of in
the following
Lianner:
Aftel 6ne payraeni, of
a..
expunses
and tuxes
the
share-
holders
shall
be
enitled
to receive
annually
four per
centum
on
the paid
-in capital,
which
minimum dividend shall be
Further net
earnings
shall
oe paid
into a con-
tingent f „ind Nrich
shall be maintained at
an
amoun equai to
one per cerit—calun
c,ne paid-in capital,
bot not to exceed
ir
event two
million
dol
ars,
und
ahiCh shall
oe
used
to
meet
any
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possible
losseL,
and such
fund
shall upon the
final
dissolu-
ti
on o
f
th
e N
at
ion
al
?es
erv
e
As
so
cia
tio
n go
t
o
t
he
;n
ite
d
S
tat
es,
an
d
s
ha
ll n
ot
un
der
an
y ci
rcu
mst
an
ces
be
in
clu
de
d i
n th
e
bo
ok
va
lue
of
the
sto
ck,
o
r go t
o
th
e sh
are
hol
de
rs.
con
tin
gen
t f
und
has
b
een
es
ta
bli
she
d
one
-ha
lf
o
f
ne
t
ear
ni
ngs
s
hal
l b
e p
aid
i
nt
o
th
e
s
urp
lu
s f
und
Res
erv
e A
sso
cia
ti
on
un
til
sat
d
fu
nd
sh
all
am
oun
t
A
fte
r
th
e
al
l
ad
dit
ion
al
of
the
Nat
ion
al
to
twe
nt
y
p
er
ce
ntu
m
of
t
he
pai
d
-in
cap
ita
l,
o
ne-
fo
urt
h s
hal
l
• e
p
aid
to
th
e Un
ite
d
Sta
tes
as a
fr
anc
hi
se
t
ax,
and
o
ne-
fo
urt
h
sha
ll
be
pa
id
t
o t
he sh
are
ho
lde
rs,
but
w
he
n
th
e
sh
are
hol
der
s'
di
vi
den
ds sh
al
l amo
unt
t
o
fi
ve
per
c
en
tum
p
er
a
nnu
m
o
n th
e
p
aid
-in
ca
pit
al
the
y sha
ll r
ec
eiv
e n
o
add
iti
ona
l
div
id
end
s.
Af
ter
the
s
har
eho
lde
rs
re
ce
ive
f
ive
pe
r c
ent
um
on
t
he
p
aid
-i
n
capital, one-half
of
the
net
earnings
a
nd
su
rp
lus
fun
d,/
one
-h
alf
sh
all
b
e
pai
d
a
fr
an
chi
se
tux
. Af
ter
t
he
p
er
an
num
o
n p
aid
-
in
ca
pi
tal
Na
tio
nal
Re
se
rve
A
sso
cia
tio
n
shall
be added
to
the
to
the
Un
ite
d S
tat
es
as
sh
are
hol
der
s
rec
eiv
e
f
ive
pe
rce
nt
qm
and
f
ie
su
rpl
us
f
un
d
of
th
e
am
oun
ts
to t
wen
ty
p
er
c
en
tum
of
t
ha
t
ca
pit
il
, i
e
xce
ss
ear
ni
ngs
sh
all
be
pa
id
to
th
e Un
ite
d
St
ate
s
a
s a
fr
anc
hi
se
t
ax
.
Ag
ree
d
to
cha
ng
e
th
e
lo
ca
tio
n
of
Se
cti
on
21.
an
d
hav
e
sa
me
fo
ll
ow
sec
tio
n
1,
wi
th
the
fol
lo
win
g
ch
ang
e in
the
f
ir
st
par
a-
g
rap
h
o
f
sa
me
:
Up
on
17
11y
mak
ing
an
d
fi
li
ng a
cer
ti
fic
ate
by
t
he
b
oa
rd
o
f
dir
ect
or
s o
f
th
e Na
tio
nal
Re
ser
ve
As
soc
iat
ion
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to
th
e
effec
t
that
one
hundr
ed mi
llion
doll
ars
of
t
he
ca
pital
stock of the Association have been
fully
paid
in,
the said
Asso
ciat
ion
sha
ll
be
come
as
and
from
dat
e of
the
fili
ngof
the
said
cert
ifica
te
a
bo
dy
co
rpora
te and
as
suc
h
and
b
y
t
ho
n
ame
sha
lL have
pow
er -
--
Sec.
24.
Agree
d to
str
ike o
ut in
line
the
w
ords a
lo
cal
ass
ociat
ion may
by
a
vot
e of tw
o-thi
rds
of
its
me
mbers
a
nd
i
nsert
the
wor
ds T
he
Nat
ional
Res
erve
Asso
ciati
on
m
ay.
Se
c.
27
.
Ins
ert
The
Natio
nal
Rese
rve
Associ
atic
a
shall
be
the
prin
cipa
l
fisca
l
agen
t of
the
Un
ited
Sta
tes.
T
o foll
ow
Sect
ion
31.
Fog
er of
r
edisc
wint
a
nd
dis-
coun
t, gran
ted
by
Secti
ons
29,
30
and
31,
to
the
Nati
onal
Re
serve
A
ssoci
ation
s
hall
be
e
xerci
sed thr
ough
th
e
bra
nch
in
the
dist
rict
in
oan
k
maki
ng
a
pplic
ation
f
or
rediscount
is located.
Secti
ons 29, 3
0 a
nd
31.
Ag
reed to
i
nsert
in
eac
h
of
the
se
sen
tions
a
fter
the
wo
rds
N—tio
nal
Reser
ve
As3
ociat
ion
in line 1,
t
he w
ords th
rough
it
s
bran
ches.
Sec
. 43.
Stri
ke out
t
he
l
ast
oan
tenc
e
and
in
sert
the
foll
owing
:
Th
e
Nat
ional
Res
erve
Ass
ociat
ion
sh
all pa
cji
le
n
ation
al
and
s
tate
exa
miner
s
o
r
ser
vices
rend
ered
t
o
it
such
c
ompen
satio
n a
s
t
he d
irec
tors
t
hereo
f
ma
y
cons
ider just
and
equ
itab
le.
Wh
ereup
on, at
1.30
P.
M.,
the
C
ommi
ssion
to
ok
a
re
cess
until
2.30
P.
M
.
7/17/2019 056_081_06.pdf
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A
FT
ER
R
EC
ES
S
.
T
he
C
o
mm
is
si
o
n
m
et
at
2.
3
0
P
.
M
.
Pr
e
se
nt
:
Al
d
ri
ch
(
Ch
a
ir
ma
n
),
Vr
e
el
an
d (
Vi
c
e
-
C
ha
ir
m
an
),
B
ur
ro
w
s,
Mo
n
ey
,
W
ee
k
s,
B
on
y
ng
e,
P
a
dg
et
t
an
d
Pr
in
ce
.
S
ec
.
53
.
I
ns
e
rt
i
n l
in
e
2,
af
t
er
th
e
w
or
d pe
r
io
d
t
t
wo
r
d
of
,
a
nd
in
l
in
e
6,
u
ft
e
r
t
he
w
or
d
m
il
li
o
ns
th
e
w
or
d
s
of
do
ll
a
rs
.
Section
5.
In
line
3,
after
the
word
co:amittee
strike
o
ut
t
he
wo
r
ds
o
r t
he
N
a
ti
on
a
l R
es
er
v
e
A
ss
oc
ia
t
io
n,
an
d
i
n
l
i
ne
6,
a
ft
er
t
h
e
wo
rd
p
ro
v
id
ed
,
st
ri
ke
o
ut
th
e
w
or
ds
th
a
t
n
ot
m
or
e t
ha
n
o
no
su
ch
as
so
ci
a
ti
on
sh
a
ll
be
f
o
rm
ed
i
n
a
ny
c
it
y
,
a
n
d
. S
tr
ik
e
o
l
t
a
ll
of
s
ec
ti
on
a
f
te
r
t
he
s
ec
o
nd
p
ar
ag
r
ap
h
a
nd
in
s
er
t
t
he
f
ol
l
ow
in
g
:
T
he
ba
nk
s
un
it
i
ng
tc
f
o
rm
su
ch
l
oc
a
l as
so
c
ia
ti
on
s
s
h
al
l,
by
t
he
pr
e
si
de
nt
o
r
vi
c
e-
pr
e
si
de
n
t,
ac
ti
n
g
u
nd
er
a
ut
ho
r
it
y
f
ro
m
th
e
b
o
ar
d
o
f
di
r
ec
to
r
s,
m
ak
e
in
du
pl
ic
a
te
an
d
f
il
e
w
it
h
tl
te
C
om
pt
ro
l
le
r
o
f t
he
Cu
rr
e
nc
y
an
d
wi
th
t
he
r
at
io
n
al
R
es
er
ve
As
so
c
ia
ti
on
a
ce
rt
if
i
ca
te
s
et
ti
ng
fo
r
th
th
e n
am
es
of
t
he
b
an
ks
c
om
p
os
in
g
t
he
as
s
oc
ia
ti
o
n,
t
he
p
ri
nc
ip
a
l p
l
ac
e
o
f
b
us
i
ne
ss
o
f
th
e
a
ss
oc
i
at
io
n,
a
nd
t
he
na
m
e
of
t
h
e
as
s
oc
ia
ti
o
n,
w
hi
c
h
na
m
e
s
ha
ll
b
e
s
ub
je
ct
to
t
h
e
ap
n
ro
va
l
of the
National
Reserve Association
.
T pon
t
he
f
il
in
g
of
s
uc
h
s
er
ti
f
ic
at
e
e
l
oc
al
a
ss
o
ci
at
i
on
t
h
er
ei
n
na
m
ed
s
ha
l
l
be
co
me
a
bo
dy
c
or
p
or
at
e,
a
n
d b
y
th
e
na
me
s
o d
es
ig
na
t
ed
a
nd
ap
pr
o
ve
d
m
ay
su
e
a
nd
b
e
su
e
d
a
nd
e
x
er
ci
se
th
e
po
we
r
s
o
f
a
bo
d
y
co
rp
o
ra
te
f
or
th
e
pu
r
po
se
s
a
li
th
or
iz
ed
b
y
th
is
ac
t,
an
d
n
o
t
ot
he
r
wi
se
.
7/17/2019 056_081_06.pdf
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Se
c
.
5
4.
I
n
se
rt
t
he
f
o
ll
o
wi
n
g:
T
ha
t
b
an
k
in
g
co
rp
o
ra
-
ti
o
ns
f
or
c
ar
r
yi
n
g
on
th
e
bu
s
in
es
s
o
f
b
an
ki
n
g
a
nd
i
n ai
d
o
f
t
h
e
c
om
me
r
ce
o
f
t
h
e U
ni
te
d
S
t
at
e
s a
r
i
t
s
c
i
ti
z
en
s
wi
t
h
fo
r
ei
g
n
c
o
un
tr
i
es
an
d
t
o
a
c
t
a
s
f
in
an
c
ia
l
a
g
en
t
s
o
f
t
he
Un
i
te
d
S
ta
t
es
m
ay
b
e
f
or
m
ed
b
y
a
ny
nu
m
be
r
o
f
p
er
s
on
s
n
ot
le
s
s
in
an
y
c
a
se
th
a
n
f
iv
e
w
h
o
s
ha
l
l e
nt
er
in
t
o
a
r
ti
c
le
s
o
f
as
so
c
ia
t
io
n
w
h
ic
h
sh
a
ll
s
pe
c
if
y
i
n
g
en
e
ra
l
t
e
rm
s t
h
e
ob
j
ec
t
f
or
w
hi
c
h t
he
b
a
nk
i
ng
c
o
rp
or
a
ti
o
n
is
f
or
med
and
may
contain
any
other provisions not
i
n
co
ns
i
t
e
nt
w
it
h
th
e
p
r
ov
is
i
on
s
of
t
h
is
a
c
t
w
hi
ch
th
e
ba
nk
i
ng
c
o
rp
o
ra
t
io
n
ma
y
se
e
fi
t
t
o
a
do
p
t
f
o
r
t
he
r
e
gu
l
at
i
on
nd
co
n
du
ct
o
f
i
t
s
b
u
si
n
es
s
an
d
a
ff
a
ir
s
w
hi
c
h
sa
i
d
r
e
gu
la
t
io
n
s
el
n
b
e
s
i
gn
ed
i
n
du
pl
i
ca
t
e
b
y
t
he
p
er
s
on
s
un
it
i
ng
t
o
fo
r
m
t
he
b
a
nk
i
ng
c
o
rp
or
a
ti
o
n
a
nd
o
n
e
co
p
y
th
e
re
o
f
s
ha
l
l
b
e
fo
r
wa
rd
e
d
t
o
t
he
C
o
mp
t
ro
ll
e
r o
f
t
he
C
u
rr
e
nc
y
an
d
t
h
e
o
th
e
r
t
o
th
e
Se
c
re
ta
r
y
of
St
a
te
t
o
e
f
il
e
d a
n
d
p
re
s
er
ve
d
in
t
h
ei
r
o
ff
ic
e
s.
S
e
c.
55
.
T
ha
t
th
e
pe
r
so
n
s
u
ni
t
in
g
to
fo
r
m
s
u
ch
b
a
nk
i
ng
c
or
p
or
at
i
on
sh
a
ll
un
de
r
th
e
ir
h
an
d
s
ma
k
e
an
o
r
ga
n
ia
ti
o
n
c
e
rt
i
fi
ca
t
e
w
hi
c
h
sh
a
ll
s
pe
ci
f
y
f
i
rs
t
th
e
na
m
e
as
s
um
ed
b
y
s
u
ch
b
a
nk
i
ng
c
o
rp
or
a
ti
o
n
wh
i
ch
n
am
e
s
ha
l
l b
e
su
bj
e
ct
to
a
p
pr
ov
a
l
by
t
he
C
om
pt
r
ol
l
er
;
se
co
n
d
t
he
f
or
e
ig
n
c
o
un
t
ry
or
co
u
nt
ri
e
s
o
r
th
e
d
e
pe
nd
e
nc
i
es
c
ol
o
ni
e
s of foreign countries
or
of
the United
States
where
i
ts
o
pe
ra
t
io
n
s
of
di
s
co
un
t
a
nd
d
e
po
si
t
a
re
to
b
e
c
ar
r
ie
d
o
n;
t
hi
r
d
t
he
p
la
ce
i
n
t
he
U
ni
t
ed
st
a
te
s
wh
e
re
it
s
h
o
me
o
ff
i
ce
ri
nd
l
e
l
oc
a
te
d
;
fo
u
rt
h
t
h
e
a
mo
u
nt
o
f
i
t
s
c
a
ni
t
al
s
to
c
k a
n
d
t
he
nu
m
be
r
o
f
sh
a
re
s
in
t
o
wh
i
ch
th
e
s
a
me
s
ha
l
l
b
e
di
v
id
ed
;
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s
s
r
if
t.
tlie
n
am
es
an
d
p
la
ce
s
o
f
r
es
id
en
ce
of
t
he
s
ha
re
hol
de
rs
an
d.
th
e
n
um
be
r
of
sha
re
s
he
ld
by
e
ac
h
of
th
em
an
d
si
xt
h
a
d
e-
claration
that
said
certificate is
made to enab
le
s
h
p
er
so
ns
to
a
va
il t
he
ms
el
ves
o
f
t
he
adi
ra
nt
ae
s o
f th
is
a
ct.
Se
c.
56
.
T
ha
t n
o
ba
nk
in
g c
or
po
rat
io
n sh
al
l b
e o
rg
an
iz
ed
un
de
r
t
rii
s
ac
t
wi
th
a
l
es
s
c
ap
it
al
th
an
tw
o m
ill
io
n
d
ol
la
rs
.
Se
c.
57
.
Th
at
e
ir
ery
ba
nk
in
g
co
rp
or
at
ion
f
or
me
d pu
rs
ua
nt
to
t
he
pr
ov
isi
on
s
of
th
is
act
s
hal
l
f
ro
m t
he
da
te
o
f
t
he
exe
cu
ti
on
o
f
it
s
o
r2;
an
iz
tio
n c
er
ti
fi
ca
te
be
b
od
y
co
rp
or
at
e
bu
t sh
al
l
not
be
a
i.
;th
ori
ze
d t
o
re
cei
ve
d
ep
os
it
s
in
t
he
U
ni-
te
d
S
ta
te
s n
or c
om
pet
e
w
it
h
ba
nks
i
n
t
he
U
ni
te
d S
ta
te
s
or
-
ga
ni
ze
d ei
the
r
u
nde
r
n
ati
on
al
or
S
tat
e
l
aw
s
fo
r
d
om
es
ti
c
bus
in
es
s
not
ne
ce
ss
ari
ly
re
la
te
d
to
p
: bu
si
nes
s
be
in
g
d
on
e
in
fo
re
ig
n
co
unt
ri
es
or
in
t
he
d
ep
en
de
nc
ies
of
the
U
nit
ed
S
ta
te
s.
Su
ch
b
an
ki
ng
co
rp
or
ati
on
s
s
ha
ll
no
t
ha
ve
a
ny
p
owe
r
to issue
or
cireulate notes under
any
of
the
p
ro
vi
si
ons
of
the
l
aw
s
re
la
ti
ng
t
o
na
ti
ona
l
ba
nk
s
do
in
bu
si
ne
ss
w
it
hi
n
t
he
Un
it
ed
S
ta
te
s.
F 7
1
wv
iki
nr
7
e
ce
no
ra
ti
ons
sh
al
l
ha
ve
f
ul
l
p
ow
er
t
o
ma
.ke
ac
ce
pt
an
ce
s
o
f dr
af
ts
bi
ll
s
o
f
e
xc
ha
nge
or
oth
er
com
me
rc
ia
l
p
ap
er
a
nd
ma
tur
in
g
s
ubs
eq
ue
nt
to
t
he
da
te
o
f
ac
c
pt
an
ce
.
Ev
er
y
s
uc
h
b
an
ki
ng
c
or
por
at
io
n
s
ha
ll
h
av
e
pow
er
to
p
ur
ch
as
e
o
r se
il
se
cr
it
ie
s
o
f
th
e
U
ni
te
d
s
ta
te
s o
r
o
f
:Ln
y
nt
at
e
i
n t
ne
7
.;
nio
n
o
r
of
f
or
ei
gn
go
ve
rn
me
nt
s or
su
Hc
il
ri
sio
ns
o
r
m
on
ic
ip
al
it
ie
s
o
f
f
or
ei
gn
co
un
tr
ie
s.
E
ac
h
ba
nk
in
g
c
or
oo
ra
ti
on
o
rga
ni
ze
d
he
re
un
der
sh
al
l
ha
ve
po
we
r
to
es
ta
bli
sh
an
d
m
ai
nt
ai
n
f
or
t
he
tr
an
sac
ti
on
of
i
ts
bu
si
nes
s
a
b
ra
nch
o
r
br
an
ch
es
in
f
or
ei
n
c
ou
nt
ri
es
t
he
ir
de
pe
Ade
ne
ie
s
7/17/2019 056_081_06.pdf
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or
th
e
de
pe
nd
en
ci
es
of
th
e U
ni
ted
StL
.t
es
a
t
s
uc
h
p
lac
es
a
nd
und
er
lud
il
r
eg
ul
ati
on
s as
t
he
bo
ar
d
o
f
di
re
cto
rs
ma
y
de
ter
-
m
in
e to
be ex
pe
di
en
t.
A m
aj
or
ity
of
th
e
me
mbe
rs
o
f
t
he
bo
ar
d o
f
di
re
ct
or
s
o
f
su
ch
b
an
ki
ng
co
rp
or
ati
on
sh
al
l
b
e
ci
ti
ze
ns
of
th
e
U
ni
te
d
Sta
te
s.
Ea
ch
d
ir
ect
or
sh
al
l ow
n
in
hi
s ow
n r
ig
ht
a
t
le
as
t
o
ne
h
un
dr
ed
s
ha
re
s
o
f
th
e
c
ap
ita
l
st
oc
k
of
t
he
ba
nk
ing
c
or
-
po
ra
ti
on
o
f w
hi
ch
he
is
a
d
ire
ct
or
.
Se
c.
58
.
Th
e
ann
ua
l
m
eet
in
g
of
e
ve
ry
su
ch
ba
nk
in
g c
or
-
po
rat
io
n
s
ha
I
be
h
el
d
t
it
s h
om
e o
ff
ic
e
in
t
he
Un
it
ed
States
and
every
such
banking corporation
shall keep
at
its
ho
me
o
ff
ic
e
b
ook
s co
nta
in
in
g
the
na
me
s
of
all
s
to
ck
hol
de
rs
o
f
s
uc
h
ban
ki
ng
co
rp
or
at
io
n
a
nd
m
em
be
rs
of
it
s
bo
ar
d
of
di
r
ec
to
rs
t
og
et
he
r
w
it
h
c
op
ie
s
of
th
e
r
ep
or
ts
f
ur
ni
sh
ed
b
y i
t
to
t
he
Co
mpt
ro
ll
er
o
f
t
he
Cur
re
nc
y
e
xhi
bi
ti
ng
i
n
de
ta
il
and
u
nd
er
a
pp
ron
ri
at
e
h
ea
ds
th
e
re
sou
rc
es
an
d
l
ia
bi
li
ti
es
o
f th
e
ba
nk
in
g
cor
po
ra
ti
on
.
Eve
ry
su
ch
ban
ki
ng
c
or
po
ra
ti
on
s
ha
ll
m
ak
e re
po
rt
s
t
o th
e
co
mp
tro
ll
er
of
t
he
cu
rr
enc
y
a
t
t
he
sa
me
t
im
e a
s
na
ti
on
al
b
an
ks
m
ake
th
eir
r
ep
or
ts u
nd
er
ex
is
tin
g
s
ta
t-
u
te
s
a
nd
sh
al
l
be
su
bj
ec
t
t
o
e
xa
ai
na
ti
on
w
he
n
d
eem
ed
ne
ce
s-
s
ar
y
b
y
th
e
C
om
pt
ro
ll
er
o
f
t
he
C
ur
re
ncy
t
hr
ou
gh
b
an
k
ex
am
in
-
e
rs
a
ppo
in
te
d
b
r
t
he
Co
mp
tro
ll
er
.
Se
c.
59
. A
ny
ba
nk
do
in
g
bu
si
ne
sc
i
n
th
e
Un
it
ed
r
ta
tes
an
d be
in
g
t
he
ow
ne
r
o
f
s
to
ck
i
n
the National Reserve
Associa-
ti
on
ma
y
s
ub
sc
ri
be
to
t
he
s
to
ck
of
an
y
ba
nk
ing
co
rp
or
at
ion
o
rg
an
iz
ed
u
nd
er
th
e
pro
vi
si
on
s
of
t
hi
s
ac
t bu
t
th
e
ag
gr
eg
at
e
of
suc
h
st
oc
k
h
el
d
by
a
ny
on
e
ba
nk
sh
al
l
no
t
ex
ce
ed
t
en
p
er
c
en
t
of
th
e
c
ap
it
al
st
ock
of
th
e
s
ub
scr
ib
in
g
ba
nk
.
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S
e
c
.
6
0.
Th
a
t
t
h
e
pr
o
v
i
si
o
n
s o
f
a
l
l l
a
w
s
r
el
a
t
in
g
to
n
at
i
o
na
l
b
a
nk
i
n
g a
s
so
c
i
a
ti
o
n
s
o
r
g
an
i
z
ed
t
h
er
e
u
nd
e
r
s
o
f
a
r
a
s
ap
p
l
ic
a
b
l
e
n
d
n
o
t
i
n
co
n
s
i
st
e
n
t w
i
t
h
t
h
e
p
r
ov
i
s
io
n
s
of
this act shall govern ane ontrol
banking corporations
o
r
g
n
i
ze
d
h
er
e
u
n
de
r
.
R
e
p
e
al
A
l
d
ri
c
h-
V
r
e
el
a
n
d
b
i
ll
e
t
c
.
et
c
.
W
he
r
e
u
po
n
t
4
.3
0
th
e
C
om
m
i
s
si
o
n
a
d
j
ou
r
n
ed
t
o
m
e
et
W
e
d
n
es
d
a
y
D
e
c
em
b
e
r
2
0
1
9
1
1
t
10
.
3
0
A
.
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fr
lhashington,
D. C.,
Wednesday,
December
20,
1911.
The
commission
met
at 10.30
A. M.
Present:
Aldrich
(Chairman),
Vreeland (Vice-Chairman),
71urrows
Money, Burton,
Weeks,
Bongyge, Padgett.
Yr.
Arthur ?eynolds,
of the
Des
Moines lational Bank,
of
Des
Moines,
Iowa,
and
Mr. Pierre
Jay, of
the
Bank of
Man-
hattan
Company,
Yew York City,
addressed
the Commission on
the subject
of
permitting
National banks
to
establish
savings
departments
under the Plan,
and
their remarks
are
attached
hereto.
The
Commission
took a
recess at 1.00 until
2.30
P.
M.
AFTER
RECESS
The Commission
met at
2.30 P. M.
Present:
Aldrich (Chairman), Vreeland (Vice-Chairman),
Burrows,
Money, Burton, Weeks,
Bonynge
and
Padgett.
The Commission
immediately
took up
a draft of
the
bill
prepared by
the
Treasury
Department
officials,
and
made
it
the
subject
of
discussion during
the
entire afternoon session,
agreeing to the
following
changes:
Sec. 2,
par.
Fourth, line 2, strike out the
word
"and"
after the
word "law"
and insert
"or."
Par.
Fifth, line
2,
after the
word
"manner" strike
out
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the word
hereinbefore and
insert
the word
hereinafter.
Sec.
3.
Line
11,
after the word capital insert the
word
stock.
Line 12, after the word
subscriptions insert the words
or any
part
thereof.
Last
line,
last
paragraph,
strike
out
the
word
before.
Sec. 5.
Last
paragraph, last line,
after the word
Association insert the
words
whenever, in their
opinion,
the business
of the country so
requires.
Sec.
6.
Second
paragraph, line
13, after
the
word the
strike
out the
words associated
banks
and insert the words
local
association, and
in the last
line of
same
paragraph,
after the word
act
insert the
words and not
otherwise.
Third paragraph, line
2,
after the word
be
strike
out
the word
created
and insert the word authorized.
Sec.
7.
Second paragraph,
line 1,
after the word
when
strike out
the
words
appointed or .
Sec.
8.
Second
paragraph,
line
1,
after
the word
board
Insert
the words of
directors, and in
line
make the word
Bank
banks.
Same
paragraph,
lines
15 and 16,
chance the arrangement
of the
words industrial,
commercial,
agricultural,
so
they
wil]
read
Agricultural,
commercial, industrial, and in
line
17
after
the
word
officers
strike
out the
word
or and
insert
the word
nor.
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Thi
rd
par
agr
aph,
l
ine
1
, stri
ke
out
a
fter
the
word
wh
en
and
wu
yds
appo
inte
d
o
r .
S
ec.
9.
Sec
ond
pa
ragr
aph,
l
ines
o
n 4
,
c
han
ge t
he
arr
ange
ment
of
t
he
w
ords
i
ndu
stri
al,
coi
amer
cial
a
gric
ul-
tura
l
s
o
th
ey
wil
l rea
d
a
gric
ult
ural
, co
mme
rcia
l,
in
dus-
t
rial
.
Fift
h pa
ragr
aph
,
line
3, aft
er
the
wo
rds
n
or of
a
ny
of
stri
ke
ou
t th
e w
ord
the
a
nd inse
rt
the
word
it
s.
Sec.
1
0.L
ast
li
ne,
s
trik
e
out
t
he
wor
ds
ar
ticl
es
of
asso
ciat
ion
or
th
e .
S
ee.
13.
Lin
e
7
,
b
efor
e
the
wor
d
b
ranc
hes
str
ike
ott
the
word
the a
nd
i
nser
t
th
e
w
ord
its.
Sec.
16
. Li
ne
5,
afte
r
t
he
wor
ds
time
by
the
str
ike
out th
e
wor
ds
same
a
uth
orit
y
and
in
sert
the
wo
rds
gove
rno
r
w
ith
the
a
ppro
val
of
t
he
e
xec
utiv
e c
ommi
ttee
of
t
he
Nati
onal
e
serv
e Ass
ocia
tio
n.
Se
c. 18
. Li
ne 6,
aft
er
th
e wo
rd
shar
eho
lder
s stri
ke
out
the w
ords
an
d c
redi
tors
a
nd in
lin
e
8
, s
tri
ke ou
t
the
wor
ds
ver
ifie
d by
the
oat
h of
the
go
ver
nor or
depu
ty
gove
rno
r.
Se
c.
1
9.
Sec
ond
pa
ragr
aph
,
line
1
0, afte
r
the
wor
d
As
soc
iati
on
str
ike
out
t
he
word
go
and
inse
rt the
mo
rds
be
pai
d ,
an
d
in li
ne 12,
aft
er the
wo
rds
sto
ck
or
str
ike
o
ut the
wo
rd
go
and
in
sert
the
word
s
be
paid
.
Al
so
in
lin
e
20, af
ter
the
wo
rd ca
pita
l
str
ike
out
t
he wor
d
but
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6
/
.
n
d
i
n
s
e
r
t
t
h
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w
o
rd
p
r
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n
l
i
n
e
2
1
,
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t
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w
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tr
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2
.
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c
.
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7
.
L
i
n
e
5
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e
f
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r
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e
c
.
3
0
.
L
i
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2
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t
r
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h
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y
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t
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2
7
,
2
8
,
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n
d
2
9
,
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n
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r
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c
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t
coNmercial
paper
drawn
upon
them,
having not
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h
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c
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3
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.
L
i
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e
4
,
a
f
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he
w
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b
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a
r
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n
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he
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t
z
words
of
directors ,
and
inline
6
after
the
word
must
s
tri
ke
o
ut
the
wor
ds
ha
ve
a
ri
sen
an
d in
ser
t
th
e
wo
rd
a
ri
se.
S
ec.
3
6. L
ine
4
, aft
er
the
wo
rd
pu
rch
as
in
g str
ik
e
o
u
he
wo
rd
a
nd
a
nd
in
se
rt
a
co
ma,
an
d
in lin
e 8
aft
er
the
w
or
d ex
ch
an
ge s
tri
ke
ou
t
t
he wo
rds
w
hic
h h
av
e
ar
is
en
an
d in
se
rt
th
e wor
d
ari
si
ng
.
Se
c.
3
7.
Li
ne
1
0,
a
ft
er
th
e w
or
ds
b
y th
e
s
tri
ke
ou
t
til w
or
d d
ir
ec
tor
s
an
d
i
nse
rt
th
e
w
or
d man
ag
er
,
and
i
n
l
in
e
11
,
af
ter
the
wor
d o
ri
gi
nat
es
st
ri
ke
ou
t
the
w
or
ds
or
n ex
ec
ut
ive
or
dmi
tt
ee
t
he
re
of.
S
ec
.
38
.
P
ar
ag
rap
h
2o
ur
th
,
li
ne
2
,
b
ef
ore
th
e
w
or
d
a
ss
oci
at
ion
st
rik
e
ou
t
t
he
wo
rd
t
he
a
nd i
ns
ert
th
e
wo
rd
sa
id.
Sec.
39.
Strike
out the
entire paragraph entitled
Th
ir
d.
S
ec.
42
.
Li
ne
1,
a
ft
er
th
e w
ord
s
o
f t
he
in
se
rt th
e
wo
rd
s N
ati
on
al
Res
er
ve
.
Se
c.
43
.
L
in
e 5,
a
ft
er t
he
w
or
d
Cur
re
ncy
i
ns
ert
the
w
or
ds
by
sa
id
as
so
ci
ati
on
.
Mak
e
a
n
ew p
ar
agr
ap
h be
tw
een
S
ect
io
ns
44
an
d
45,
as
fol
lo
ws:
All
r
ep
ort
s
of
n
at
ion
al
b
an
k ex
am
ine
rs
in
r
ega
rd
to
th
e
co
nd
iti
on
of
ba
nk
s
sha
ll
he
re
aft
er
be
ma
de
i
n
d
up
li
cat
e,
a
nd
o
ne
c
opy
sh
al
l
be f
ile
d
wi
th
t
he
Nat
io
nal
R
es
erv
e
Ass
oc
-
ia
tio
n
f
or
t
he
con
fi
den
ti
al
us
e
of
it
s
ex
ec
uti
ve
of
fi
cer
s
an
d
b
ra
nch
m
ana
ge
rs
.
7/17/2019 056_081_06.pdf
http://slidepdf.com/reader/full/05608106pdf 83/84
Sec
.
4
5.
Li
ne
8,
a
ft
er
th
e w
ord
re
qui
re
me
nts
st
rik
e
out the
word of
and
i
nse
rt
th
e
w
or
ds
p
re
sc
rib
ed
b
y
.
Se
c.
4
6.
L
in
e 3,
aft
er
t
he
wor
d Ma
y
s
tri
ke
ou
t
t
he
wo
rd
s
i
f t
hey
c
ho
os
e.
S
ec
.
47
.
Lin
e
1,
af
te
r t
he
w
or
d a
ss
oci
at
ion
s
tri
ke
ou
t
the
wo
rd
m
us
t a
nd
i
ns
ert
th
e w
or
d
sha
ll
,
an
d
in
lin
e
1
0
s
tri
ke
th
e
wor
d
fas
t
an
d
i
n li
ne
11
str
ik
e t
he
f
irs
t
wor
d
a
s.
Se
c.
4
8.
Li
ne st
ri
ke o
ut
th
e w
ord
s
Uni
te
d
S
tat
es
th
e
s
eco
nd
t
im
e
th
ey
a
re
us
ed a
nd
ins
er
t
ki
t=
aft
er
th
e w
or
d
b
ond
s
th
e
w
ord
s o
f
t
he
q
ni
ted
S
ta
tes
.
Se
c.
4
9.
L
in
e
4
,
aft
er
t
he
wo
rd
s l
aw
ful
m
one
y
ins
er
t
t
he
wo
rd
s gol
d
b
ul
li
on
or
f
ore
ig
n g
ol
d
coi
n.
S
ec
. 5
5.
Lin
e
6,
aft
er
th
e
wo
rd
m
il
lio
n
i
ns
ert
th
e
word
doll
ar
s.
W
he
re
upo
n,
a
t
5.
30
.
P
M.
,
th
e
lom
mi
ssi
on
a
djo
ur
ne
d t
o
mee
t
Th
ur
sd
ay
mo
rni
ng
,
D
ece
mb
er
2
1,
191
1,
t 10
.3
0
A
. Y
.
7/17/2019 056_081_06.pdf
http://slidepdf.com/reader/full/05608106pdf 84/84
W
as
hi
n
gt
on
,
D.
C.
,
T
h
ur
sd
ay
,
De
ce
.b
er
2
1,
19
11
.
Th
e
C
om
mi
ss
io
n
m
et
at
10
:3
0
a.
m.
Pr
es
en
t
,
M
es
rs
.
A
ld
ri
ch
(C
ha
i
rm
an
),
Vr
ee
la
nd
(V
ic
e-
Ch
ai
rm
an
)
,
B
ur
ro
ws
, Lo
ne
y
,
Bu
rt
o
n,
We
ek
s,
B
on
yn
ge
,
a
nd
P
a
d-
ge
tt
.
Se
ct
io
n
3.
Li
ne
1
4,
af
t
er
th
e
w
or
ds
tw
o
hu
nd
re
d
,
st
ri
k
e o
ut
t
he
w
or
ds
a
nd
fi
f
ty
;
li
ne
1
7
,
a
f
te
r
th
e
wo
rd
s
two hundred
s
tr
ik
e
ou
t
t
he
wo
rd
s an
d
f
if
t
y
; li
ne
18
,
a
ft
er
th
w
or
ds
n
ot
m
or
e
th
an
,
s
tr
ik
e
o
ut
th
e
w
or
d
fo
u
r
a
nd
i
ns
er
t
th
e wo
rd
th
re
e
;
in
li
ne
1 .
1,
a
ft
er
th
e
w
or
ds
n
ot
l
es
s
t
ha
n
s
tr
ik
e
o
ut
t
he
wo
rd
fo
ur
a
nd
i
ns
e
rt
t
he
wo
rd
th
re
e
;
li
ne
2
1
,
s
t
ri
ke
ou
t
th
e
w
o
rd
f
ou
r
an
d in
se
rt
t
h
wo
r
d
th
re
e
;
i
n
th
e
s
am
e
li
ne
af
te
r
tl
e
w
or
d i
nl
ab
it
an
ts
,
i
ns
er
t
t
h
wo
rd
s
a
nd
n
ot
m
or
e th
an
f
ou
r h
un
dr
ed
t
ho
us
an
d
in
ha
bi
ta
nt
s
;
li
ne
22
,
a
ft
er
t
he
wo
rd
s n
ot
le
ss
th
an
,
s
,
ri
ke
ou
t t
he
wo
rd
f
iv
e
a
nd
i
ns
er
t
t
h
wo
rd
f
ou
r
;
in
t
h
l
as
t
li
ne
, a
ft
er
t
he
w
or
d
d
ol
l
ar
s
, i
ns
er
t
th
e
w
or
ds
an
d
i
f
lo
ca
te
d i
n a
ci
ty
ha
vi
ng
a
p
op
ul
at
io
n
of
mo
re
th
an
fo
ur
h
un
dr
ed
t
h
:m
sa
nd
in
ha
bi
ta
nt
s
s
ha
ll
h
av
e
a
pa
id
-i
n a
n
d
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