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Minutes of actions taken by the Board of Governors of the Fed-

Reserve System on Wednesday, January 29, 1947.

PRESENT: Mr. Eccles, ChairmanMr. DraperMr. EvansMr. Vardaman

Mr. Carpenter, SecretaryMr. Sherman, Assistant SecretaryMr. Thurston, Assistant to the Chairman

Minutes of actions taken by the Board of Governors of the Fed-

eral Reserve System on January 28, 1947, were approved unanimously.

Letter to Mr. DeMoss, Vice President of the Federal Reserve

Batik of Dallas, reading as follows:

"In accordance with the request contained in yourletter of January 22, 1947, the Board approves the ap-pointment of Robert Elkin Zimmerman as an assistantexaminer for the Federal Reserve Bank of Dallas. Pleaseadvise us of the date upon which the appointment becomeseffective and the adjustment, if any, in his salary."

Approved unanimously.

Letter to the board of directors of "The Blackshear Bank",

Blackshear, Georgia, stating that, subject to conditions of member-

ship numbered 1 to 3 contained in the Board's Regulation HI the

Board approves the bank's application for membership in the Federal

Reserve System and for the appropriate amount of stock in the Fed-

eral Reserve Bank of Atlanta.

Approved unanimously, for trans-mission through the Federal ReserveBank of Atlanta.

Letter to Mr. Peterson, Vice President of the Federal R

serve Bank of St. Louis, reading as follows:

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"In accordance with the recommendation contained in

your letter of January 23, 1947, the Board of Governorsextends to February 28, 1947, the time within which TheBank of Houston, Houston, Missouri, may accomplish mem-

bership in accordance with the Board's letter to the

Board of Directors of the applicant bank dated December

9, 1946."

Approved unanimously.

Telegram to Mr. Volberg, Vice President of the Federal Re-

serve Bank of San Francisco, reading as follows:

"Relet January 21. In view-your recommendation Board

approves establishment and operation of branch at Alhambra

Boulevard and Broadway Street, Sacramento, California, by

American Trust Company, San Francisco, California, provid-

ed such branch is established within six months from Janu-ary 7, 1947, as required by State authorities and with

understanding that Counsel for Reserve Bank will review

and satisfy himself as to the legality of all steps taken

to establish branch."

Approved unanimously.

Letter to the Presidents of all the Federal Reserve Banks,

reading as follows:

"This refers to the Board's wire of December 6 re-garding the exchange and reissue of the stock of the

Federal Deposit Insurance Corporation held by the Fed-

eral Reserve Banks."This matter was taken up with the Federal Deposit

Insurance Corporation and discussed informally with

Treasury officials and we are now advised by the Federal

Deposit Insurance Corporation that the Comptroller General

of the United States, in his report to Congress on auditof the Federal Deposit Insurance Corporation for the year

1945, called attention to the applicable provisions of

Section 12B of the Federal Reserve Act requiring the

Corporation to exchange and reissue such capital stock

and stated that this had not been effected. The auditors

of the General Accounting Office are presently making

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"another audit of the Corporation's affairs, and officialsof the Corporation want to avoid having the matter againcalled to the attention of Congress and, accordingly, willappreciate it if the exchange of this stock can be madepromptly.

"The Treasury Department regulations of August 15, 1934,require the Federal Deposit Insurance Corporation stock cer-tificate to be held in the joint custody of the Federal Re-serve Bank and agent, and it is understood that the TreasuryDepartment is writing a letter to your Bank and to the Fed-eral Reserve agent at your Bank authorizing the release ofsuch stock to the custody of the Board of Governors so thatit can arrange for the reissue of the certificate. 'hhen youreceive such authorization from the Treasury and the properrelease from the Federal Reserve agent, it will be apprecia-ted if you will forward the certificate to the Board so thatit can arrange for its exchange for a new certificate to beissued by the Federal Deposit Insurance Corporation. It isunderstood, of course, that when the new certificate is re-ceived by your Bank it will be endorsed and held in accord-ance with the terms of the Treasury regulation and its let-ter to you authorizing the release of the certificate forreissue."

Approved unanimously, togetherwith a letter to the Agents of allFederal Reserve Banks reading asfollows:

"There is enclosed a copy of a letter written to thePresident of your Bank under this date with respect to thereissue of the certificate of shares of the Federal DepositInsurance Corporation stock orned by your Bank.

"As soon as you receive proper authorization from theTreasury Department, it will be appreciated if yo will re-lease the stock now held in joint custody wit FederalReserve Bank to the Bank for transmission to the :oard so

ficate bythat it can arrange for the reissue of thz /p .•

/

-,_the Federal Deposit Insurance Corporati:/

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14 di / 41 . . . A _ , • _ 6 i kdiii 0 I 0 17 4 & , /........ r

Secretal:, .

Chairman.

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