Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-06-23
DIGEST OF CURRENCY
REFORM ACT WILSON
WANTS THIS SESSION

troller Of the Currency as members
ex-offiCio. Four other members are
chosen by the President of the Unit
ed States by and with the consent
Of the Senate for term of six years
each.
zone Of the members thus appoint
ed by the President is to be governor
Of the Federal reserve board, one
vice governor and one secretary.
Banker Member Of Board
Their term OF office is for eight
years, except that Of those first ap-
pointed. one to the serve two years,
one four, one six and one eight years.
At least one Of the members appoint
ed by the President is to be a person
Of banking experience Thus 1t will
be noted that the Government will
have absolute control of the system.
THE salary Of each member Of the
board, except the two Cabinet Off
GERS. who are ex-oficio members, is
fixed at 10000, the Comptroller of the
Currency 20 receive So, 900 in addi-
ton to the salary which he receives
under existing law.
THE powers Of the Federal reserve
board are as follows:
"ta) To examine at its discretion
the accounts and books Of each Fed
eral reserve bank and to require such
statements and reports as IT deems
necessary
"(b) To require or. on application,
to permit a Federal reserve bank to
redtsCount the paper of any other
Federal bank.
"tc) To establish each week OF as
much Oftener as required, a rate OF
discount which shall be mandatory
oh H. ..
each class of paper provided that
said rate of discount need not be
uniform for all Federal reserve banks,
but shall be made with a view to &C
CommOdating the commerce Of the
country and promising a stable price
level
I'd To suspend for a period not
exceeding 80 days land to renew
such suspension for periods not to
exceed fifteen days. any and every
reserve requirement specified In this
act.
Treasury Note Regulation.
"(e) To supervise and regulate the
issue Of Treasury notes TO Federal
reserve banks
90 To add to the number of cities
classified a" reserve and central re
serve cities under existing law. in
which national banding associations
are subject to the reserve require
ments set forth in the act. or to re-
classify existing reserve and central
reserve cities and 10 designate the
banks therein situated by country
banks in its discretion
"(g) To require the removal of Of
ficials of Federal reserve banks for
incompetency, dereliction of duty,
fraud or deceit.
"(h) To acquire the writing Off of
doubtful or worthless assets upon the
books and balance sheets of Federal
reserve banks
% To suspend the further opera =
tons of any Federal reserve bank and
appoint a receiver therefor.
cd To perform the duties. funC-
tons or services specified or implied
in the act
To Classify Banking.
THE object Of the bill is TO effect a
moderate division and classification
| Of banking business along Indicated
lines the net result, presumably, be
| ing summed up as follows:
cd National reserve banks will be
strictly limited to rediscounting ac-
! tual commercial and Industrial trans
actions evidenced by very short term
| paper and on rare occasions under
carefully prescribed conditions 10
| financial operations protected bv col
! lateral
"(2) National banks will be sub
jected TO the same restrictions as at
present, with relaxation In favor Of
| a moderate amount of real estate
| loans by country banks.
"(S( BY revision OF the admins
| trative figures of the national bank
| ing act provision will be made for
| close oversight of national institu-
tons.
20 In order to possess themselves
| Of the kind of paper emitting them to
rediscounts national banks win find
| themselves obliged TO keep a reason