19400226_Minutes.pdf

303

A meeting of the Board of Governors of the Federal Reserve

SY8t114MS held in Washington on Monday, February 26, 1940, at 11:

PRESENT: Mr. Eccles, ChairmanMr. Ransom, Vice ChairmanMr. SzymczakMr. MeeMr. Mr. Draper

Mr. Morrill, SecretaryMr. Bethea, Assistant SecretaryMr. Carpenter, Assistant SecretaryMr. Clayton, Assistant to the Chairman

The action stated with respect to each of the matters herein-

tiN" referred to was taken by the Board:

The minutes of the meetings of the Board of Governors of the

111114o

Lett uer dated February 24, 1940, to Mr. Dillard, Secretary of

Reserve System held on. l'ebruary 23 and 24, 1940, were approved

arl Reserve Bank of Chicarro, reading as follows:

tim1.9,39 zeference is made to your letter of November 29,

with respect to the designation of Dean C. A.'11138, as qconomic Adviser to the Board of DirectorsI Your bank.

the "It is understood by the Board of Governors fromeeirieeent telephone conversation between Chairman

ie " and Mr. Wood, Chairman of your board, that itProPosed to continue the designation of Dean

Qliny:-IPs on a month to month basis pending certainc1111,-,g.es at the bank which it is expected will be made130t1"`IIR the current year. In these circumstances thePhilidi" Governors approves the designation of Mr.tit .t1,-J-Ps on a month to month basis with compensationhilta t:e rate fixed by your directors of p3,000 per an-

1

11 addition to necessary travelinc: expenses."

Approved unanimously.

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

304

Telegram to Mr. Young), Vice President of the Federal Reserve

of Chicago, reading as follows:

"In accordance with your recommendation the Boardscbends to May 1, 1942, the time within which the 'Statecellk of Clearing', Chicago, Illinois, may increase its:Pits' stock to 4.,i',200,000 as required by condition ofinarship numbered 15 applicable to the institution.th "as been noted that an increase in the capital ofthe bank to $150,000 is contemplated at this time and

in Your opinion the required increase in capital4-2.--L be accomplished long before May 1, 1942."


Tel

kAk egran to Mr. Swanson, Vice President of the Federal Reserve

Of TVrinnespoli , referring to the application of the "Burke State

South Dakota, for permission to withdraw Lmaediately from

17411eil'ebi•P in the Federal Peserve System, and stating that the Board

1411ea the usaalrequirement of six months notice of intention to with-

that, accordingly, upon surrender of the Federal Peserve

issued to the Burke State Bank, the Federal Reserve Bank

1/4it1

leeP011e is authorized to cancel such stock and make appropriate

thThe telegram also stated that since it was indicated

ke State Bank desired to continue without interruptionttmis

as an insured bank it was assumed that termination of its

14131‘11iP in the Federal *Reserve System would be deferred until it

:c'lliqrrtillteneausly be accepted by the Federal Deposit Insurance

NNtion es a nonnamber insured bank.


305

2/26/40rZ

Approved unanimously, together witha letter to Mr. Leo T. Crowley, Chairmanof the Federal Deposit Insurance Corpora-tion, reading as follows:

th ,"The Board has today approved the application ofe Burke State Bank', Burke, South Dakota, for permis-

ajon to withdraw from membership in the System and waived4e Usual six months' notice of intention to withdraw.

"It is understood that the bank desires to continue,

Vout interruption, its status as an insured bank andt at it desires the insurance on deposits es a nonmember

become effective simultaneously with its terminationinembership in the System.

a, "It is understood also that you may desire to maketi41 exmination of the bank; therefore, in accordance withp !Provisions of subsection (k)(2) of section 12B of thesleral Reserve Act, the Board hereby grants written Con-

for examiners for the Federal Deposit Insurance Cor-n to examine the Burke State Bank, Burke, South

connection with its application for continua--11 of deposit insurance as a nonmember bank."

Memorandum dated February 26, 1940, from the committee in

- the Banking Studies recommendinc that copies of the studies

xtt° the Chairmen of all Federal Reserve banks for their cam-

be ae,

s'uf?Pestions.


Thereupon the meeting adjourned.


Documents

19400226_Minutes.pdf